Question - Prepare Job-Order Cost Sheets, Predetermined Overhead Rate, Ending Balance of WIP, Finished Goods, and COGS
At the beginning of June, Rhone Company had two jobs in process, Job 44 and Job 45, with the following accumulated cost information:
|
Job 44
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Job 45
|
|
Direct materials
|
$4,600
|
$1,800
|
|
Direct labor
|
1,200
|
3,000
|
|
Applied overhead
|
780
|
1,950
|
|
Balance, June 1
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$6,580
|
$6,750
|
During June, two more jobs (46 and 47) were started. The following direct materials and direct labor costs were added to the four jobs during the month of June:
At the end of June, Jobs 44, 45, and 47 were completed. Only Job 45 was sold. On June 1, the balance in Finished Goods was zero.
Required:
1. Calculate the overhead rate based on direct labor cost. Enter teh percentage answer as a whole number.
2. Prepare a brief job-order cost sheet for the four jobs. Show the balance as of June 1 as well as direct materials and direct labor added in June. Apply overhead to the four jobs for the month of June, and show the ending balances. Round your answers to the nearest whole dollar. For those boxes in which no entry is required, enter "0" or leave the box blank.
3. Calculate the ending balances of Work in Process and Finished Goods as of June 30. Round your answers to the nearest dollar.
4. Calculate the Cost of Goods Sold for June. Round your answer to the nearest dollar.