Marco Company shows the following costs for three jobs worked on in April. Job 306 Job 307 Job 308 Balances on March 31 Direct materials used (in March) $ 33,800 $ 39,800 Direct labor used (in March) 24,800 22,800 Overhead applied (March) 14,800 13,800 Costs during April Direct materials used 147,000 232,000 $ 112,000 Direct labor used 89,800 162,000 117,000 Overhead applied ?question mark ?question mark ?question mark Status on April 30 Finished (sold) Finished (unsold) In process Additional Information Raw Materials Inventory has a March 31 balance of $84,800. Raw materials purchases in April are $512,000, and total factory payroll cost in April is $375,000. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $26,000; factory rent, $35,000; factory utilities, $22,000; and factory equipment depreciation, $54,000. Predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $647,000 cash in April. 5-a. Compute gross profit for April. 5-b. Show how the three inventory accounts are reported on the April 30 balance sheet. Prev Question 9 of 13 Total 9 of 13 Visit question mapNext McGraw Hill

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter5: Product And Service Costing: Job-order System
Section: Chapter Questions
Problem 17E: During August, Skyler Company worked on three jobs. Data relating to these three jobs follow:...
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Marco Company shows the following costs for three jobs worked on in April. Job 306 Job 307 Job 308 Balances on March 31 Direct materials used (in March) $ 33,800 $ 39,800 Direct labor used (in March) 24,800 22,800 Overhead applied (March) 14,800 13,800 Costs during April Direct materials used 147,000 232,000 $ 112,000 Direct labor used 89,800 162,000 117,000 Overhead applied ?question mark ?question mark ?question mark Status on April 30 Finished (sold) Finished (unsold) In process Additional Information Raw Materials Inventory has a March 31 balance of $84,800. Raw materials purchases in April are $512,000, and total factory payroll cost in April is $375,000. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $26,000; factory rent, $35,000; factory utilities, $22,000; and factory equipment depreciation, $54,000. Predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $647,000 cash in April. 5-a. Compute gross profit for April. 5-b. Show how the three inventory accounts are reported on the April 30 balance sheet. Prev Question 9 of 13 Total 9 of 13 Visit question mapNext McGraw Hill
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