During the month of January, Honesty Company worked on two jobs. Data relating to these two...

 

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During the month of January, Honesty Company worked on two jobs. Data relating to these two jobs follows (see image below). Overhead is applied at 80% of direct labor cost. During January, Job 100 was completed and delivered to customer at 125% of cost. Job 300 was placed in stock and sold some of the units. Job 200 was the only unfinished job at the end of the month. Units in each order Units sold Materials requisitioned Direct labor hours Direct labor rate per hour Job 100 1,200 1,200 12,000 1,000 60 Job 200 2,000 0 20,000 1,500 70 Job 300 3,000 2,500 30,000 2,000 60 How much is the cost of goods manufactured for the month? How much is the cost of goods sold for the month? During the month of January, Honesty Company worked on two jobs. Data relating to these two jobs follows (see image below). Overhead is applied at 80% of direct labor cost. During January, Job 100 was completed and delivered to customer at 125% of cost. Job 300 was placed in stock and sold some of the units. Job 200 was the only unfinished job at the end of the month. Units in each order Units sold Materials requisitioned Direct labor hours Direct labor rate per hour Job 100 1,200 1,200 12,000 1,000 60 Job 200 2,000 0 20,000 1,500 70 Job 300 3,000 2,500 30,000 2,000 60 How much is the cost of goods manufactured for the month? How much is the cost of goods sold for the month?

Answer rating: 100% (QA)

First lets calculate the direct materials cost Direct materials cost Materials requisitioned 12000 N... View the full answer