Southworth company uses a job-order costing system

Reference no: EM131103826

Need help with J

Southworth Company uses a job-order costing system and applies manufacturing overhead cost to jobs on the basis of the cost of direct materials used in production. Its predetermined overhead rate was based on a cost formula that estimated $222,600 of manufacturing overhead for an estimated allocation base of $159,000 direct material dollars.

The following transactions took place during the year (all purchases and services were acquired on account):

a.	Raw materials purchased, $151,000.
b.	Raw materials requisitioned for use in production (all direct materials), $142,000.
c.	Utility bills incurred in the factory, $22,000.
d.	Costs for salaries and wages were incurred as follows:


Direct labor	$	224,000
Indirect labor	$	61,800
Selling and administrative salaries	$	144,000

e.	Maintenance costs incurred in the factory, $25,000.
f.	Advertising costs incurred, $120,000.
g.	Depreciation recorded for the year, $48,000 (70% relates to factory assets, and the remainder relates to selling and administrative assets).
h.	Rental cost incurred on buildings, $87,000 (70% of the space is occupied by the factory, and 30% is occupied by sales and administration).
i.	Miscellaneous selling and administrative costs incurred, $12,000.
j.	Manufacturing overhead cost was applied to jobs, $ ?
k.	Cost of goods manufactured for the year, $558,000.
l.	Sales for the year (all on account) totaled $1,300,000. These goods cost $530,000 according to their job cost sheets.

The balances in the inventory accounts at the beginning of the year were as follows:


Raw materials	$	25,000
Work in process	$	21,000
Finished Goods	$	34,000

Reference no: EM131103826

Questions Cloud

Reviewing the budget every month to determine : As an office manager, you are reviewing the budget every month to determine what your costs are. When reviewing the budget, you see that your payroll is over-budget the last two months.

Gfb estimates that the volume of business loans : In 2013, Grand Falls Bank (GFB) had $4,000,000 in business loans at an average interest rate of 3.5 percent as well as $3,200,000 in consumer loans with an average rate of 8 percent. GFB also has $750,000 invested in government securities that pay..

Bonds outstanding with the following characteristics : Red Frog Brewery has $1,000-par-value bonds outstanding with the following characteristics: currently selling at par; 5 years until final maturity; and a 9 percent coupon rate (with interest paid semiannually).

Which is most appropriate to justify use of death penalty : Of the five contemporary goals of sentencing discussed in the unit, which is the most appropriate to justify the use of the death penalty? Debate the ethics of the principle of "lex talionis" (an eye for an eye). Ensure that in your response you ..

Southworth company uses a job-order costing system : Southworth Company uses a job-order costing system and applies manufacturing overhead cost to jobs on the basis of the cost of direct materials used in production.

Concept of integrated marketing communications : This assignment requires you to analyze how DELL COMPUTERS integrates its marketing communications tools and promotional activities. Your essay should display the following:

History of public administration : Write a 500 to 700 word paper in which you describe the history of public administration. Include a description of at least two public administration models.

How would you implement this in your classroom : What challenges does this pedagogical response present to your teaching? How would your students' learning be impacted by experiencing this pedagogical response?

Which country has an absolute advantage in the production : What product will Home export, and which product does Foreign export? Briefly explain why.

User Account

All Pages