Jobs on the basis of direct labour cost

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Sigma company applies overhead cost to jobs on the basis of direct labour cost.

Job A,which was started and completed during the current period,shows charges of 5,000 for direct materials,8000 for direct labour,and 6,000 for overhead on its job cost sheet.

Job B,which is still in process at year end,shows charges of 2500 for direct materials and 4000 for direct labour.

Should any overhead cost be added to job b at year end? Explain

Reference no: EM13140770

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