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M. Rozow of Covington Manufacturing Co. is paid at the rate of $20 an hour for an 8 hour day with time and a half for over time and double time for Sundays and holidays. Regular employment is on the basis of a 40 hours a week, five days a week. At the end of a week, the labor time record shows the following:
Job/Indirect labor Sunday Monday Tuesday Wednesday Thursday Friday Saturday Total007 5 5 3 5 6 24009 3 3 5 6.5 5 22.5Machine Repair 4 6.5 10.5Total 4 8 8 8 11.5 11 6.5 57
Because jobs are randomly scheduled for the overtime period, any overtime premium is charged for Factory Overhead.
a. Compute Rozow's earnings for the week.
b. Present the journal entry to distribute Rozow's total earnings
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