Question
The computer workstation furniture manufacturing that Santana Rey started in January is progressing well. As of the end of June, Business Solutions's job cost sheets
The computer workstation furniture manufacturing that Santana Rey started in January is progressing well. As of the end of June, Business Solutions's job cost sheets show the following total costs accumulated on three furniture jobs.
Job 602 | Job 603 | Job 604 | ||||||||||||
Direct materials | $ | 1,600 | $ | 3,500 | $ | 2,800 | ||||||||
Direct labor | 900 | 1,440 | 1,900 | |||||||||||
Overhead | 450 | 720 | 950 | |||||||||||
Job 602 was started in production in May, and these costs were assigned to it in May: direct materials, $400; direct labor, $250; and overhead, $125. Jobs 603 and 604 were started in June. Overhead cost is applied with a predetermined rate based on direct labor costs. Jobs 602 and 603 are finished in June, and Job 604 is expected to be finished in July. No raw materials are used indirectly in June. (Assume this companys predetermined overhead rate did not change over these months.)
Required: 1. What is the cost of the raw materials used in June for each of the three jobs and in total? 2. How much total direct labor cost is incurred in June? 3. What predetermined overhead rate is used in June? 4. How much cost is transferred to finished goods inventory in June?
The computer workstation furniture manufacturing that Santana Rey started in January is progressing well. As of the end of June, Business Solutions's job cost sheets show the following total costs accumulated on three furniture jobs Job 602 Direct materials $1,600 900 450 Job 603 $3,500 1,440 720 Job 604 $2,800 1,900 Direct labor Overhead 950 Job 602 was started in production in May, and these costs were assigned to it in May: direct materials, $400; direct labor, $250; and overhead, $125. Jobs 603 and 604 were started in June. Overhead cost is applied with a predetermined rate based on direct labor costs. Jobs 602 and 603 are finished in June, and Job 604 is expected to be finished in July. No raw materials are used indirectly in June. (Assume this company's predetermined overhead rate did not change over these months.) Required 1. What is the cost of the raw materials used in June for each of the three jobs and in total? 2. How much total direct labor cost is incurred in June? 3. What predetermined overhead rate is used in June? 4. How much cost is transferred to finished goods inventory in June? Complete this question by entering your answers in the tabs below Required 1Required 2Required 3 Required 4 What is the cost of the raw materials used in June for each of the three jobs and in total? Job 602 Total Job 603 Job 604 May costs June costs Total Required Required 2> Complete this question by entering your answers in the tabs below Required 1 Required 2 ERequired 3 Required 4 How much total direct labor cost is incurred in June? Job 602 Job 603 Job 604 Total May costs June costs Total KRequired 1 Required 3> Complete this question by entering your answers in the tabs below Required 1 Required 2 Required 3Required 4 What predetermined overhead rate is used in June? Predetermined overhead rate Required 2 Required 4 Complete this question by entering your answers in the tabs below. Required 1Required 2 Required 3 Required 4 How much cost is transferred to finished goods inventory in June? Cost transferred Overhead Total Cost to finished goods Direct Labor Costs of Raw Materials Job 602 603 604 Total Applied K Required 3 Required 4Step by Step Solution
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