
Each type of cost for all three jobs.

Answer to Problem 41A
Job 1:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
Job 2:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
Job 3:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
Explanation of Solution
Given information:
Manufacturing cost consists of labor costs, material cost and overhead cost. Total manufacturing cost for job
Calculation:
Components of manufacturing cost is given as below.
Job | Labor Cost | Material cost | Overhead cost | Total cost |
Now we need to find the individual cost percentage for each job. Total cost will be base and individual costs will be percentage.
As we know the proportion to find percentage is given as
Job 1:
Labor cost
Putting these value in standard proportion,
Hence, the labor cost percentage is
Similarly,
Material cost
Putting these value in standard proportion,
Hence, the material cost percentage is
Again,
Overhead cost
Putting these value in standard proportion,
Hence, the Overhead cost percentage is
Job 2:
Labor cost
Putting these value in standard proportion,
Hence, the labor cost percentage is
Similarly,
Material cost
Putting these value in standard proportion,
Hence, the material cost percentage is
Again,
Overhead cost
Putting these value in standard proportion,
Hence, the Overhead cost percentage is
Job 3:
Labor cost
Putting these value in standard proportion,
Hence, the labor cost percentage is
Similarly,
Material cost
Putting these value in standard proportion,
Hence, the material cost percentage is
Again, Overhead cost
Putting these value in standard proportion,
Hence, the overhead cost percentage is
Thus,
Job 1:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
Job 2:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
Job 3:
Labor cost percentage is
Material cost percentage is
Overhead cost percentage is
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Chapter 24 Solutions
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