Required information [The following information applies to the questions displayed below.] European Styles, Incorporated, manufactures women's blouses of one quality, which are produced in lots to fill each special order. Its customers are department stores in various cities. European Styles sews the particular stores' labels on the blouses. During November, the company worked on three orders, for which the month's job-cost records disclose the following data. Material Used Lot Number Boxes in Lot (yards) Hours Worked 22 1,100 23,220 4,360 22 23 37,220 24 27,345 7,220 3,150 1,800 1,300 The following additional information is available: 1. The firm purchased 96,000 yards of material during November at a cost of $107,000. 2. Direct labor during November amounted to $250,410. According to payroll records, production employees were paid $17.00 per hour. 3. There was no work in process on November 1. During November, lots 22 and 23 were completed. All material was issued for lot 24, which was 60 percent completed as to direct labor. 4. The standard costs for a box of six blouses are as follows: Direct material 21 yards at Direct labor 4 hours at Production overhead 4 hours at $ 1.10 per yard $ 16.60 per hour $ 12.00 per hour $ 23.10 66.40 48.00 Standard cost per box $ 137.50 Required: 1. Prepare a schedule computing the standard cost of lots 22, 23, and 24 for November. Note: Round "Standard Cost per Box" to 2 decimal places. EUROPEAN STYLES, INCORPORATED Standard Cost of Production For November Quantity Standard Cost Total Standard Lot (boxes) per Box Cost 22 1,100 23 1,800 24 1,300 Standard cost of production

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Required information
[The following information applies to the questions displayed below.]
European Styles, Incorporated, manufactures women's blouses of one quality, which are produced in lots to fill each
special order. Its customers are department stores in various cities. European Styles sews the particular stores' labels on
the blouses. During November, the company worked on three orders, for which the month's job-cost records disclose the
following data.
Material Used
Lot Number
Boxes in Lot
(yards)
Hours Worked
222
1,100
23,220
4,360
23
24
1,800
37,220
1,300
27,345
7,220
3,150
The following additional information is available:
1. The firm purchased 96,000 yards of material during November at a cost of $107,000.
2. Direct labor during November amounted to $250,410. According to payroll records, production employees were paid
$17.00 per hour.
3. There was no work in process on November 1. During November, lots 22 and 23 were completed. All material was
issued for lot 24, which was 60 percent completed as to direct labor.
4. The standard costs for a box of six blouses are as follows:
Direct material
Direct labor
21 yards at
4 hours at
Production overhead
4 hours at
$ 1.10 per yard
$ 16.60 per hour
$ 12.00 per hour
$ 23.10
66.40
48.00
Standard cost per box
$ 137.50
Required:
1. Prepare a schedule computing the standard cost of lots 22, 23, and 24 for November.
Note: Round "Standard Cost per Box" to 2 decimal places.
EUROPEAN STYLES, INCORPORATED
Standard Cost of Production
For November
Lot
Quantity
Standard Cost
Total Standard
(boxes)
per Box
Cost
22
1,100
23
1,800
24
1,300
Standard cost of production
Transcribed Image Text:Required information [The following information applies to the questions displayed below.] European Styles, Incorporated, manufactures women's blouses of one quality, which are produced in lots to fill each special order. Its customers are department stores in various cities. European Styles sews the particular stores' labels on the blouses. During November, the company worked on three orders, for which the month's job-cost records disclose the following data. Material Used Lot Number Boxes in Lot (yards) Hours Worked 222 1,100 23,220 4,360 23 24 1,800 37,220 1,300 27,345 7,220 3,150 The following additional information is available: 1. The firm purchased 96,000 yards of material during November at a cost of $107,000. 2. Direct labor during November amounted to $250,410. According to payroll records, production employees were paid $17.00 per hour. 3. There was no work in process on November 1. During November, lots 22 and 23 were completed. All material was issued for lot 24, which was 60 percent completed as to direct labor. 4. The standard costs for a box of six blouses are as follows: Direct material Direct labor 21 yards at 4 hours at Production overhead 4 hours at $ 1.10 per yard $ 16.60 per hour $ 12.00 per hour $ 23.10 66.40 48.00 Standard cost per box $ 137.50 Required: 1. Prepare a schedule computing the standard cost of lots 22, 23, and 24 for November. Note: Round "Standard Cost per Box" to 2 decimal places. EUROPEAN STYLES, INCORPORATED Standard Cost of Production For November Lot Quantity Standard Cost Total Standard (boxes) per Box Cost 22 1,100 23 1,800 24 1,300 Standard cost of production
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