This preview shows pages 1–2. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: 20 60 40 100 Predetermined OH Rate = $100/10 = $10/unit (cost measurement) Everytime you make a unit you charge $10 to the unit no matter the actual costs Cost assignment: whne job is finished or end of accounting period TRANSACTIONS 1 Purchased raw materials for $20000 2 Issued $15000 of RM to WIP for Job 1 3 Payroll: DL $5000, plant supervision $3000 and G&A $7000 4 Depr: Plant $5000, Equip $2000, and admin bldg $3000 5 Accrued property taxes $500 6 Finished Job 1 and applied OH at $100/hour for 100 hours 7 Transferred job 1 to FG 8 Sold Job 1 for $75,000 9 Recognized cost of goods sold for Job 1 10 Closed Under/Over applied OH to COGS Acc P/R Gen & Admin Costs Acc Prop Txs Accum Depr Accounts Payable Raw Materials Accounts Receivable Sales COGS...
View Full Document
This note was uploaded on 04/06/2011 for the course ECON 3332 taught by Professor Craig during the Spring '11 term at Rensselaer Polytechnic Institute.
- Spring '11