How is total cost of goods sold and the total amount billed to customers calculated? $6,000.d. Depreciation of machinery and equipment,$4,100.e. The factory overhead rate is $40 per machinehour. Machine hours used:JobMachine Hours101154102160103126104238105160106174Total1,012f. Jobs completed: 101 to 103, 105.g. Jobs were shipped and customers were billed asfollows: Job 101, $62,900; Job 102, $80,700; Job105, $45,500.Instructions1. Journalize the entries to record the summarizedoperations.Here is the step-by-step explanation, verified by aneducator: Hildreth Company uses a job order cost system.The following data summarize the operationsrelated to production for April, the first month ofoperations:a. Materials purchased on account, $147,000.b. Materials requisitioned and factory labor used:MateriaFactoryJob No.IsLabor101$19,320$19,50010223,10028,14010313,44014,00010438,20036,50010518,05015,54010618,00018,700For general factory9,00020,160usec. Factory overhead costs incurred on account,$6.000.

A job cost sheet is a sheet which is used to record the manufacturing costs .

Answered: How is total cost of goods sold and the…

Business

Accounting

How is total cost of goods sold and the total amount billed to customers calculated?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

How is total cost of goods sold and the total amount billed to customers calculated?

$6,000.
d. Depreciation of machinery and equipment,
$4,100.
e. The factory overhead rate is $40 per machine
hour. Machine hours used:
Job
Machine Hours
101
154
102
160
103
126
104
238
105
160
106
174
Total
1,012
f. Jobs completed: 101 to 103, 105.
g. Jobs were shipped and customers were billed as
follows: Job 101, $62,900; Job 102, $80,700; Job
105, $45,500.
Instructions
1. Journalize the entries to record the summarized
operations.
Here is the step-by-step explanation, verified by an
educator:

Hildreth Company uses a job order cost system.
The following data summarize the operations
related to production for April, the first month of
operations:
a. Materials purchased on account, $147,000.
b. Materials requisitioned and factory labor used:
Materia
Factory
Job No.
Is
Labor
101
$19,320
$19,500
102
23,100
28,140
103
13,440
14,000
104
38,200
36,500
105
18,050
15,540
106
18,000
18,700
For general factory
9,000
20,160
use
c. Factory overhead costs incurred on account,
$6.000.

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