I-19.01 Problem

I-19.01 Problem - I-19.01 Form a five-person team. Three...

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I-19.01 Form a five-person team. Three team members will be "laborers." One team member will be in charge of materials. The last team member will be the "accountant." Each laborer should prepare an individual time sheet for each of the three days described below. The team member in charge of materials should prepare a materials requisition form for each employee similar to that illustrated in the chapter (you can use one per employee and don't have to do a separate one for each day). The "accountant" will collect the time sheets and materials requisition forms, and compile job cost sheets for the two jobs described in the following facts. Overhead is to be applied at $5 per direct labor hour. What cost is assigned to each job? At the conclusion of the problem, consider if you believe the overhead application rate is too low? Why? DAY 1 The company refurbishes airplane engines. The Engine A job was begun, and all three laborers worked 8 hours each. Laborer #1 and #2 worked exclusively on Engine A, but
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This note was uploaded on 02/29/2012 for the course ACCOUNTING 101 taught by Professor Hudack during the Spring '11 term at FIU.

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