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Question

The Film Company uses a job-order costing system. The following information pertains to the company's activities

for the month of December: 

On December 1, the company had two jobs in work in process as follows:  Job 6 $20,000 and Job 8 $14,000

On December 1, the company had  job in Finished Goods as follows:  Job 10 $50,000 

Jobs 12 and 13 were started during the month.

Materials were purchased on account in December for $54,000

 Materials were requisitioned for use in production. The direct materials were distributed as follows:

Job #6 $6,000    Job #8 $8,000 Job #12 $23,000    Job #13 $7,000

 Direct labor was incurred in December.  The direct labor was distributed as follows:

Job #6   $30,000   Job #8 $20,000     Job #12 $35,000 Job #13  $10,000 

Overhead is applied using camera hours. The budgeted overhead for the coming year is $1,000,000

Estimated camera hours is the cost driver and is 250,000 camera hours 

The following is the distribution of Camera hours (CH) for December:

Job #6   3,000 CH     Job #8 4,000 CH     Job #12 11,000 CH Job #13  2,000 CH

Actual overhead for December was incurred for various indirect costs on account.  

Use a generic miscellaneous payable account in your journal entry. $75,000 

Job Nos. 8 and 12 were completed during the month.

Job Nos.10 and 12 were sold to customers on account during December at 125% of cost

Any over-or underapplied overhead is closed to Cost of Goods Sold.


Questions

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4. Calculate the total costs assigned to jobs 6,8,12,13. Show the total costs assigned to each of the jobs individually.
Beginning Balance
Job 6
Job 8
Job 12
Job 13
Direct Materials
Direct Labor
Applied Overhead
Total

Top Answer

Job 6 : Beginning balance : $20000 Direct material : $6000 Direct labour : $30000 Applied Overhead : $12000 Total :... View the full answer

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