On April 1, Peter Senen Company had the following balances in the inventory accounts:                 Materials Inventory                        P12,450                 Work in process Inventory              22,605                 Finished Goods Inventory                 4,600 Work in process inventory is made up of three jobs with the following costs:                                                 Job 114                 Job 115                 Job 116 Direct Materials                                P3,650                   P1,900                   P3,650 Direct labor                           1,800                     1,560                     4.300 Applied overhead              1,350                     1,170                     3,225   During April, Peter Senen experienced the transactions listed below: Materials purchased on account, P26,000 Materials requisitioned: Job 114, P16,500; Job 115, P12,200 and Job 116, P5,000 Direct labor hours worked: Job 114, 350 hours at P12 per hour; Job 115, 280 hours at P15 per hour and Job 116, 150 hours at P20 per hour. Overhead is applied on the basis of direct labor cost Actual overhead was P8,718 Job 115 was completed and transferred to the finished goods warehouse. Job 115 was shipped, and the customer was billed for 120% of the cost. What is the total cost of the three jobs as of April 30?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On April 1, Peter Senen Company had the following balances in the inventory accounts:

                Materials Inventory                        P12,450

                Work in process Inventory              22,605

                Finished Goods Inventory                 4,600

Work in process inventory is made up of three jobs with the following costs:

                                                Job 114                 Job 115                 Job 116

Direct Materials                                P3,650                   P1,900                   P3,650

Direct labor                           1,800                     1,560                     4.300

Applied overhead              1,350                     1,170                     3,225

 

During April, Peter Senen experienced the transactions listed below:

  1. Materials purchased on account, P26,000
  2. Materials requisitioned: Job 114, P16,500; Job 115, P12,200 and Job 116, P5,000
  3. Direct labor hours worked: Job 114, 350 hours at P12 per hour; Job 115, 280 hours at P15 per hour and Job 116, 150 hours at P20 per hour.
  4. Overhead is applied on the basis of direct labor cost
  5. Actual overhead was P8,718
  6. Job 115 was completed and transferred to the finished goods warehouse.
  7. Job 115 was shipped, and the customer was billed for 120% of the cost.

    What is the total cost of the three jobs as of April 30?

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