Luvable Bears Ltd incurred the following costs to produce job number TB7B, which consisted of 1000 cuddly teddy bears that could walk, talk and play cards:

Manufacturing overhead:
Applied on the basis of direct labour hours @ $12 per hour.
Required:
1. Prepare a job cost sheet and record the information given above. (Use Exhibit 4.10 as a guide.)
2. How might the managers at Luvable Bears use this information?

Transcribed Image Text:

Direct material: 1 April 5 April Requisition no. 101: 450 metres of fabric @ S0.80 per metre 600 cubic metres of stuffing @ $0.30 per cubic metre Requisition no. 108: Direct labour: Time sheet no. 72 500 hours @ $ 19 per hour 15 April