Problem 2-2A (Algo) Computing and recording job costs; preparing schedule of cost of goods manufactured LO P1, P2, P3, P4

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[The following information applies to the questions displayed below.] Marco Company shows the following costs for three jobs worked on in April.

	Job 306	Job 307	Job 308
Balances on March 31
Direct materials used (in March)	$ 25,000	$ 44,000
Direct labor used (in March)	22,000	13,000
Overhead applied (March)	11,000	6,500
Costs during April
Direct materials used	134,000	210,000	$ 105,000
Direct labor used	103,000	152,000	104,000
Overhead applied	?	?	?
Status on April 30	Finished (sold)	Finished (unsold)	In process

Additional Information

Raw Materials Inventory has a March 31 balance of $84,000.

Raw materials purchases in April are $510,000, and total factory payroll cost in April is $386,000.

Actual overhead costs incurred in April are indirect materials, $56,000; indirect labor, $27,000; factory rent, $35,000; factory utilities, $23,000; and factory equipment depreciation, $58,000.

Predetermined overhead rate is 50% of direct labor cost.

Job 306 is sold for $660,000 cash in April.

Required: 1. Determine the amount of overhead applied to each job in April.

2. Determine the total cost assigned to each job as of April 30 (including the balances from March 31).

3. Prepare journal entries for the month of April to record the above transactions.

4. Prepare a schedule of cost of goods manufactured for the month end April 30.

5-a. Compute gross profit for April. 5-b. Show how the three inventory accounts are reported on the April 30 balance sheet.