Job A38 was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $2,700 of direct materials and used $4,200 of direct labor. The job was not finished by the end of the month but needed an additional $3,200 of direct materials and additional direct labor of $6,700 to finish the job in October. The company applies overhead at the end of each month at a rate of 100% of the direct labor cost incurred. What is the total cost of the job when it is completed in October? a. $16,800 b. $16,600 c. $27,700 d. $20,800 e. $26,700

Principles of Accounting Volume 2
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ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 2PA: York Company Is a machine shop that estimated overhead will be $50,000, consisting of 5,000 hours of...
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Job A38 was ordered by a customer on September 25. During the
month of September, Jaycee Corporation requisitioned $2,700 of
direct materials and used $4,200 of direct labor. The job was not
finished by the end of the month but needed an additional $3,200
of direct materials and additional direct labor of $6,700 to finish the
job in October. The company applies overhead at the end of each
month at a rate of 100% of the direct labor cost incurred.
What is the total cost of the job when it is completed in October?
a. $16,800
b. $16,600
c. $27,700
d. $20,800
e. $26,700
Transcribed Image Text:Job A38 was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $2,700 of direct materials and used $4,200 of direct labor. The job was not finished by the end of the month but needed an additional $3,200 of direct materials and additional direct labor of $6,700 to finish the job in October. The company applies overhead at the end of each month at a rate of 100% of the direct labor cost incurred. What is the total cost of the job when it is completed in October? a. $16,800 b. $16,600 c. $27,700 d. $20,800 e. $26,700
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