During the month of April, likey Manufacturing Company had two jobs under production, Job 234 and 567.
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Question:
During the month of April, likey Manufacturing Company had two jobs under production, Job 234 and 567. The following transactions occurred:
- Purchased materials for 100,000.
- Materials requisitioned were 35,000 for job 234 and 59,000 for job 567.
- Factory payroll for the month of April was 80,000, of which 35,000 was directly allocated to Job 234, and 30,000 to Job 567. The remainder represented general factory supervision.
- Materials returned to stockroom from Job 234, 2,500.
- Supplies purchased and used amounted to 3,000. These were not specifically traced to either of the two jobs.
- Various overhead costs, including power, maintenance and insurance, amounted to 34,000 during the month.
- Depreciation on factory building and equipment for the month was 6,000.
- Overhead is charged to jobs at the rate of 100 percent of direct labor cost.
- Job 234 was completed and delivered to the customer, but Job 567 was still in process at the end of the month.
Compute for the following:
- Cost of Job 567?
- Cost of goods sold account?
- Materials Account?
- WIP acount?
- Cost of job 234?
Related Book For
Accounting concepts and applications
ISBN: 978-0538745482
11th Edition
Authors: Albrecht Stice, Stice Swain
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