Question: MS Company uses job order costing to determine the product

MS Company uses job order costing to determine the product unit cost of one of its products based on the following costs incurred during March: liability insurance, manufacturing, $3,500; rent, sales office, $3,000; depreciation, manufacturing equipment, $5,000; direct materials, $34,000; indirect labor, manufacturing, $3,600; indirect materials, $2,000; heat, light, and power, manufacturing, $2,500; fire insurance, manufacturing, $2,400; depreciation, sales equipment, $5,000; rent, manufacturing, $4,000; direct labor, $20,000; manager’s salary, manufacturing, $4,800; president’s salary, $6,000; sales commissions, $8,000; and advertising expenses, $3,000. The Inspection Department reported that 40,900 good units were produced during March. Determine the unit product cost.


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  • CreatedMarch 26, 2014
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