Chasse Homes Inc. manufactures mobile homes. Chasse uses ajob order cost system. The time tickets from October jobs aresummarized below.
Job502 2,352
Job503 1,440
Job504 960
Job505 1,320
Factorysupervision 2,760
Factory overhead is applied to jobs on the basis of apredetermined overhead rate of $20 per direct labor hour. Thedirect labor rate is $12 per hour.
- Determine the total factory labor costs transferred to Work in Process and Factory Overhead for October
- Determine the amount of factory overhead applied toproduction for October.
- Illustrate the effects of the factory overhead appliedin (b) on the accounts and financial statements.