P15 - P15-1B Lowry Manufacturing uses a job order cost...

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P15-1B Lowry Manufacturing uses a job order cost system and applies overhead to production on the basis of direct labor hours. On January 1, 2010, Job No. 25 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $10,000; direct labor $6,000; and manufacturing overhead $9,000. Job No. 23 had been completed at a cost of $45,000 and was part of finished goods inventory. There was a $5,000 balance in the Raw Materials Inventory account. During the month of January, the company began production on Jobs 26 and 27, and completed Jobs 25 and 26. Jobs 23 and 25 were sold on account during the month for $67,000 and $74,000, respectively. The following additional events occurred during the month. 1. Purchased additi $45,000 on acco 2. Incurred factory labor costs of $31,500. Of this amount $ employer payroll taxes. 3. Incurred manufacturing overhead costs as follows: indire indirect labor $7,500; depreciation expense $12,000; and manufacturing overhead costs on account $8,000. 4. Assigned direct materials and direct labor to jobs as follo
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P15 - P15-1B Lowry Manufacturing uses a job order cost...

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