Ding Bhd. is a job order based company. On 1 August 2020 there was an incomplete...

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Ding Bhd. is a job order based company. On 1 August 2020 there was an incomplete job in the factory. The job card for this work is summarised as follows:- Job card, Job No 1113 Costs to date Direct materials Direct labour (50 hours) Production overheads Product costs to date Job No. There were three new jobs started in the factory during August and the costs of production were as follows. Job 1113 Job 1114 Job 1115 Material transfers Job 1114 to Job 1113 Job 1115 to Job 1114 Direct materials RM 2,100 3,350 3,100 Materials returned to store From Job 1114 From Job 1115 RM 300 280 RM RM 170 200 150 250 40 440 Direct labour hours 330 510 280 The cost of direct labour hours was RM5 per hour and production overheads is absorbed at a percentage of prime cost. Administrative and marketing overheads are added to the cost of sales at the rate of 15% of product cost. Required: (a) Prepare the summarised job cost cards for each of the three new jobs. (b) Calculate the invoice value if the company would like to have the profits as follows: (i) A profit margin of 20% for Job 1113 and Job 1114; (ii) A mark-up of 20% for Job 1115. (14 marks) (3 marks) (c) Define ANY TWO (2) documents that assist in materials control for Ding Bhd. Explain the functions of these documents and how they could assist in materials control. (6 marks) Ding Bhd. is a job order based company. On 1 August 2020 there was an incomplete job in the factory. The job card for this work is summarised as follows:- Job card, Job No 1113 Costs to date Direct materials Direct labour (50 hours) Production overheads Product costs to date Job No. There were three new jobs started in the factory during August and the costs of production were as follows. Job 1113 Job 1114 Job 1115 Material transfers Job 1114 to Job 1113 Job 1115 to Job 1114 Direct materials RM 2,100 3,350 3,100 Materials returned to store From Job 1114 From Job 1115 RM 300 280 RM RM 170 200 150 250 40 440 Direct labour hours 330 510 280 The cost of direct labour hours was RM5 per hour and production overheads is absorbed at a percentage of prime cost. Administrative and marketing overheads are added to the cost of sales at the rate of 15% of product cost. Required: (a) Prepare the summarised job cost cards for each of the three new jobs. (b) Calculate the invoice value if the company would like to have the profits as follows: (i) A profit margin of 20% for Job 1113 and Job 1114; (ii) A mark-up of 20% for Job 1115. (14 marks) (3 marks) (c) Define ANY TWO (2) documents that assist in materials control for Ding Bhd. Explain the functions of these documents and how they could assist in materials control. (6 marks)

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a Summarized Job Cost Cards Job 1113 Direct Materials RM 150 Direct Labour RM 250 Production Overhea... View the full answer