Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Part IV. (20 Points). Calwell Corp. uses a job order costing system. Four jobs were started during the current year. The following is a record

image text in transcribed
Part IV. (20 Points). Calwell Corp. uses a job order costing system. Four jobs were started during the current year. The following is a record of the costs incurred: Job # 1010 1011 1012 1013 Direct Material Used $45,000 59,000 35,000 26,000 Direct Labor Used $72,000 77,000 30,000 40,000 Direct Labor Hours Used 8,000 7,000 3,000 5,000 Actual overhead costs were $55,800. The predetermined overhead rate is $2.40 per direct labor hour. During the year, Jobs 1010, 1012, and 1013 were completed. Also, Jobs 1010 and 1013 were sold for $387,000. Assuming that this is Calwell's first year of operations: (a) Make the necessary journal entries to charge the costs to the jobs started and to record the completion and sale of finished jobs. (b) Calculate the ending balances in the Work in Process Inventory, Finished Goods Inventory, and Factory Overhead accounts. Does the Factory Overhead account balance indicate over- or underapplied overhead

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Financial Accounting Concepts

Authors: Thomas P. Edmonds

11th Edition

1260786587, 9781260786583

More Books

Students also viewed these Accounting questions

Question

explain how organizations can promote a positive safety climate.

Answered: 1 week ago

Question

2.9 Assuming simple interest at 4%, evaluate (a) (Ia)37, (b) (IS)3

Answered: 1 week ago

Question

An improvement in the exchange of information in negotiations.

Answered: 1 week ago