Exam 19: Job Order Costing

Clinton Manufacturing uses a predetermined overhead allocation rate based on a percentage of direct labor costs.The following are the details of production during the year: Calculate the amount of manufacturing overhead costs allocated to production.(Round any percentages to two decimal places and your final answer to the nearest dollar. )

Baptiste Accounting Services expects its accountants to work a total of 32,000 direct labor hours per year.The company's estimated total indirect costs are $155,000.The direct labor rate is $105 per hour.The company uses direct labor hours as the allocation base for indirect costs.If Baptiste performs a job requiring 49 hours of direct labor and bills the client using a standard markup of 40% of costs,calculate the amount of the client's bill.(Round any intermediate calculations to the nearest cent,and your final answer to the nearest dollar. )

Melinda,Inc.estimates manufacturing overhead costs for the coming year at $225,000,which will be allocated based on direct labor hours.Melinda estimates 9,000 direct labor hours for the coming year.In January,Job A33 was completed,which required 8 direct labor hours and 34 machine hours.Provide the journal entry to allocate manufacturing overhead to the job.

Iglesias,Inc.completed Job 12 on November 30.The details of Job 12 are given below: What is the total cost of Job 12?

Sybil,Inc.uses a predetermined overhead allocation rate to allocate manufacturing overhead costs to jobs.The company recently completed Job 300X.This job used 10 machine hours and 3 direct labor hours.The predetermined overhead allocation rate is calculated to be $45 per machine hour.What is the amount of manufacturing overhead allocated to Job 300X using machine hours as the allocation base?

Adelphia Manufacturing issued $75,000 of direct materials and $8,000 of indirect materials for production.Which of the following journal entries would correctly record the transaction?

The Quadrangle Fabrication Plant suffered a fire incident at the beginning of the year,which resulted in the loss of property including the accounting records.Some data for the year were retrieved,and extracts from it are shown below: The company's manufacturing overhead allocation is based on direct labor hours.How much manufacturing overhead was allocated to production during the year? (Round any intermediate calculations to two decimal places,and your final answer to the nearest dollar. )

The Equinox Fabrication Plant suffered a fire incident in August,and most of the records for the year were destroyed.The following accounting data for the year were recovered: The company bases its manufacturing overhead allocation on the number of direct labor hours.What was the predetermined overhead allocation rate for the year? (Round your answer to the nearest cent. )

The accounting for the allocation of overhead costs is a three-step process and occurs at three different points in the accounting cycle.List each of the three steps.For each step indicate when the step occurs and why the step is needed.

On January 1,Standard Manufacturing had a beginning balance in Work-in-Process Inventory of $80,900 and a beginning balance in Finished Goods Inventory of $21,000.During the year,Standard incurred manufacturing costs of $354,000. During the year,the following transactions occurred: Job A-12 was completed for a total cost of $124,000 and was sold for $128,000. Job A-13 was completed for a total cost of $202,000 and was sold for $211,000. Job A-15 was completed for a total cost $63,000 but was not sold as of year-end. The Manufacturing Overhead account had an unadjusted credit balance of $12,000 and was adjusted to zero at year-end. What was the amount of gross profit reported by Standard at the end of the year?

Process costing rather than job order costing is more appropriate for service companies.

What is cost of goods manufactured? Describe the flow of this cost through the job order costing system.Your answer should include the accounts involved and whether the flow involves a debit or credit.

At the beginning of the year,Judge Manufacturing had the following account balances: The following additional details are provided for the year: The ending balance in the Finished Goods Inventory account is a ________.

Irene Manufacturing uses a predetermined overhead allocation rate based on a percentage of direct labor cost.At the beginning of the year,the company estimated total manufacturing overhead costs at $1,000,000 and total direct labor costs at $820,000.In June,Job 711 was completed.The details of Job 711 are shown below. How much was the cost per unit of finished product? (Round any percentages to two decimal places and your final answer to the nearest cent. )

Which of the following is true about ERP systems?

Which of the following accounts would be debited in the journal entry to record the issuance of direct materials?

Overallocated manufacturing overhead occurs when the manufacturing overhead allocated to Work-in-Process Inventory is less than the amount actually incurred.

Lakeside,Inc.estimated manufacturing overhead costs for the year at $378,000,based on 182,000 estimated direct labor hours.Actual direct labor hours for the year totaled 193,000.The manufacturing overhead account contains debit entries totaling $391,000.The Manufacturing Overhead for the year was ________.(Round any intermediate calculations to two decimal places,and your final answer to the nearest dollar. )

Fogelin Promotional Services uses a job order system for costing and billing promotional services for dance and ballet performances.Fogelin has four public relations specialists and office staff.At the beginning of the year,Fogelin estimated the total cost of salaries and benefits for the public relations specialists at $403,200 and a total of 7,000 billable hours for the year.The office and administrative costs were estimated at $679,000.What direct labor rate would Fogelin use for the cost of its specialists? (Round your answer to the nearest cent. )

What is cost of goods sold? Describe the flow of this cost through the job order costing system.Your answer should include the accounts involved and whether the flow involves a debit or credit.