Butik Jelita receives a special order from a local agency requesting it to custom made 20 pieces of dresses to be worn in a special event. The owner, Puan Julia labels this special order as Job A27. The following is the information to produce ONE (1) piece of the dress. Items Quantity Price Direct materials: Material A 4 meters RM30 per meter Material B 2 meters RM10 per meter Direct labours: Cutting department 4 hours RM20 per hour Sewing department 6 hours RM12 per hour Machine hours: Cutting department 2 hours Sewing department 5 hours Production overheads: Cutting department Absorbed at RM6.00 per direct labour hour Sewing department Absorbed at RM4.00 per machine hour Other information: The company hires a special sewing machine which cost RM5,000 to fulfil this whole Job A27. The selling and distribution overheads are calculated based on 5% of the prime cost. The administrative overhead is charged based on 5% of the production cost. The owner has set a profit margin of 20% for this job. Required: Prepare a job cost sheet for Job A27 (for the whole 20 pieces of dresses), showing clearly: - Prime cost Production cost Non-Production cost Total cost Total selling price

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Butik Jelita receives a special order from a local agency requesting it to custom made 20 pieces of dresses to be worn in a special event. The owner, Puan Julia labels this special order as Job A27. The following is the information to produce ONE (1) piece of the dress.

Items	Quantity	Price
Direct materials:
Material A	4 meters	RM30 per meter
Material B	2 meters	RM10 per meter

Direct labours:
Cutting department	4 hours	RM20 per hour
Sewing department	6 hours	RM12 per hour

Machine hours:
Cutting department	2 hours
Sewing department	5 hours

Production overheads:
Cutting department	Absorbed at RM6.00 per direct labour hour
Sewing department	Absorbed at RM4.00 per machine hour

Other information:

The company hires a special sewing machine which cost RM5,000 to fulfil this whole Job A27.
The selling and distribution overheads are calculated based on 5% of the prime cost.
The administrative overhead is charged based on 5% of the production cost.
The owner has set a profit margin of 20% for this job.

Required:

Prepare a job cost sheet for Job A27 (for the whole 20 pieces of dresses), showing clearly: -

Prime cost
Production cost
Non-Production cost
Total cost
Total selling price

Expert Solution

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions