Question: Rally Furniture started and finished Job 310 during August The

Rally Furniture started and finished Job 310 during August. The company’s records show that the following direct materials were requisitioned for Job 310:
Lumber: 51 units at $ 9 per unit
Padding: 15 yards at $ 21 per yard
Upholstery fabric: 32 yards at $ 25 per yard.
Labor time records show the following employees (direct labor) worked on Job 310:
Yimeng Li: 8 hours at $ 9 per hour
Jesse Ray: 13 hours at $ 13 per hour.
Rally Furniture allocates manufacturing overhead at a rate of $ 8 per direct labor hour.

1. Compute the total amount of direct materials, direct labor, and manufacturing over-head that should be shown on Job 310’s job cost record.
2. Job 310 consists of seven recliners. If each recliner sells for $ 700, what is the gross profit per recliner?

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  • CreatedAugust 27, 2014
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