An advertising agency uses a job costing system to calculate the cost of client contracts.Contract A42 is one of several contracts undertaken in the last accounting period. Costsassociated with the contract consist of:Direct materials$5,500$14,500Direct expensesDesign staff worked 1,020 hours on contract A42, of which 120 hours were overtime. Onethird of these overtime hours were worked at the request of the client who wanted thecontract to be completed quickly. Overtime is paid at a premium of 25 per cent of thebasic rate of $24.00 per hour.The prime cost of contract A42 is $

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Description: An advertising agency uses a job costing system to calculate the cost of client contracts.Contract A42 is one of several contracts undertaken in the last accounting period. Costsassociated with the contract consist of:Direct materials$5,500$14,500Di

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An advertising agency uses a job costing system to calculate the cost of client contracts. Contract A42 is one of several contracts undertaken in the last accounting period. Costs associated with the contract consist of: Direct materials Direct expenses $5,500 $14,500 Design staff worked 1,020 hours on contract A42, of which 120 hours were overtime. One third of these overtime hours were worked at the request of the client who wanted the contract to be completed quickly. Overtime is paid at a premium of 25 per cent of the basic rate of $24.00 per hour. The prime cost of contract A42 is $

An advertising agency uses a job costing system to calculate the cost of client contracts. Contract A42 is one of several contracts undertaken in the last accounting period. Costs associated with the contract consist of: Direct materials Direct expenses $5,500 $14,500 Design staff worked 1,020 hours on contract A42, of which 120 hours were overtime. One third of these overtime hours were worked at the request of the client who wanted the contract to be completed quickly. Overtime is paid at a premium of 25 per cent of the basic rate of $24.00 per hour. The prime cost of contract A42 is $

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Jenkins Company uses a job order cost system with overhead applied to jobs on the basis of direct labor hours. The direct labor rate is $20 per hour, and the predetermined overhead rate is $15 per direct labor hour. The company worked on three jobs during April. Jobs A and B were in process at the beginning of April. Job A was completed and delivered to the customer. Job B was completed during April, but not sold. Job C was started during April, but not completed. The job cost sheets revealed the following costs for April: Cost of Jobs in Process, 4/1/2018 Direct Materials Used Direct Labor Applied Manufacturing Overhead Job A a. Work in Process b. Finished Goods c. Cost of Goods Sold $11,100 1,100 8,200 ? Job B $1,100 6,200 6,200 ? Job C $ - 6,300 2,100 ? Required: If no other jobs were started, completed, or sold, determine the balance in each of the following accounts at the end of April:
Street Runner Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows: Engine parts $901,500 Shop direct labor 658,000 Shop and repair equipment depreciation 70,400 Shop supervisor salaries 195,800 Shop property taxes 35,500 Shop supplies 27,300 Advertising expense 18,000 Administrative office salaries 77,500 Administrative office depreciation expense 9,900 Total Cost and Expenses $1,993,900 The average shop direct labor rate is $14 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round the answer to nearest whole cent.$fill in the blank 1 per direct labor hour
K company production was working on Job 1 and Job 2 during the month. Of the $790 in direct materials, $380 in materials was requested for Job 1. Direct labor cost, including payroll taxes, are $23 per hour, and employees worked 17 hours on Job 1 and 30 hours on Job 2. Overhead is applied at the rate of $20 per direct labor hours. Prepare job order cost sheets for each job. Job 1 Hours Total Cost Direct materials $fill in the blank 1 Direct labor fill in the blank 2 fill in the blank 3 Manufacturing overhead fill in the blank 4 fill in the blank 5 Total cost $fill in the blank 6 Job 2 Hours Total Cost Direct materials $fill in the blank 7 Direct labor fill in the blank 8 fill in the blank 9 Manufacturing overhead fill in the blank 10 fill in the blank 11 Total cost $fill in the blank 12
Samer Corp. uses a job order cost accounting system. The following is selected information pertaining to costs applied to jobs during the year: Jobs still in process at the end of the year: $167,000, which includes $65,000 direct labor costs. Jobs finished and sold during the year: $395,000, which includes $172,000 direct labor costs. Jobs finished but unsold at end of the year: $103,000, which includes $38,000 direct labor costs. Samer Corp's predetermined overhead allocation rate is 60% of direct labor cost. At the end of the year, the company's records show that $189,000 of factory overhead has been incurred. A. Determine the amount of overapplied or underapplied overhead and indicate if it is underapplied or overapplied. B. Prepare the necessary journal entry to close the Factory Overhead account assuming that any remaining balance is not material. Edit Format Table 12pt v Paragraph | BIU ✓ T²: F4 F2 0- F3 0+ F6 F9 2 # 3 LA 4 F5 % 5 F7 ہے F8 $ & 7
On January 1, VYLGHA946 Corp. estimated its total overhead for the upcoming year to be $300,000 and its total machine hours to be 25,000. VYLGHA946's actual machine hours for the year were 28,360. The company uses job-order costing with machine hours as the allocation base. At the end of the year, the VYLGHA946's books reveal following actual results: Advertising Expense $9,200 (#ID18121) Direct Labor $22,000 Purchases of Raw Materials $17,200 Rent, Factory Building $51,900 Indirect Labor $54,500 Sales Commissions $9,600 Utilities, Factory $11,700 Maintenance, Factory Equipment $9,500 CEO Salary $7,500 Depreciation, Factory Equipment $14,000 Q. What is VYLGHA946's amount of over- or under-applied OH? (Enter just the amount.) A. $
) Jeremy Corporation estimated manufacturing overhead costs for the year to be $500,000. Jeremy also estimated 8,000 machine hours and 2,000 direct labor hours for the year. It bases the predetermined overhead allocation rate on machine hours. On January 31, Job 25 was completed. It required 6 machine hours and 1 direct labor hour. What is the amount of manufacturing overhead allocated to the completed job? (Round your intermediate calculations to one decimal place) A) $1,500.00 B) $437.50 C) $375.00 D) $350.00
Can you please show how its done? I got $75,000 and its not correct
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Cards by Hallmark allocate factory overhead based on hours used by a piece of equipment. At the beginning of the period, the company estimates factory overhead to be $25,000 and expects the equipment to be used for 4,000 hours. During the period Job, 22 requires 1,900 hours of use of the equipment. Job 23 requires 1,700 hours, and Job 24 requires 100 hours. As of March 31, actual indirect costs include: $4,000 for indirect materials, $9,100 for indirect labor, $6,000 for utilities, and $5,200 for equipment depreciation. Required: a. Prepare the journal entry to record the costs considered factory overhead. b. Calculate the predetermined factory overhead rate. c. Prepare the journal entry required to apply the factory overhead to the jobs at the end of the month.
Attached herewith is the picture; Prepare the T- accounts for the actual Factory overhead
Badour Inc. is a job-order manufacturer. The company uses a predetermined overhead rate based on direct labor hours to apply overhead to individual jobs. For the current year, estimated direct labor hours were 119,000 and estimated factory overhead was $785,400. The following information was for September. Job X was completed during September, while Job Y was started but not finished. September 1, inventories: Materials $ 9,500 Work-in-process (All Job X) 37,900 Finished goods 80,900 Materials purchases $ 130,000 Direct materials requisitioned: Job X $ 55,000 Job Y 40,500 Direct labor hours: Job X 5,500 Job Y 5,000 Labor costs incurred: Direct labor ($6.50 per hour) $ 68,250 Indirect labor 17,000 Factory supervisory salaries 7,700 Rental costs: Factory $ 9,000 Administrative offices 2,700 Total equipment depreciation costs:…
CS Company started work on three job sites during the current year. Any costs incurred are expected to be recoverable. Data relating to the three jobs are given below: Site Contract Cost Estimated Costs Billings on Collections on Price Incurred to Complete Contract Billings 5,000,000 1 5,000,000 3,750,000 5,000,000 2 7,000,000 1,000,000 4,000,000 1,000,000 900,000 1,500,000 900,000 1,000,000 3 2,500,000 1,000,000 If the company records revenue at a point in time, how much must be shown as current asset in the balance sheet of MOC Construction Company as of December 31? A. 5,100,000 B. 500,000 C. 250,000 D. 100,000