Reference no: EM132533497

Johnson Inc. is a job-order manufacturing company that uses a predetermined overhead rate based on direct labor hours to apply overhead to individual jobs. For the current year, estimated direct labor hours are 91,000 and estimated factory overhead is $591,500. The following information is for September of the current year. Job A was completed during September, and Job B was started but not finished.

September 1, inventories

Materials inventory$ 8,200

Work-in-process inventory (All Job A) 32,600

Finished goods inventory 70,500

Material purchases 114,500

Direct materials requisitioned Job A 72,000

Job B 37,000

Direct labor hours Job A 4,900

Job B 4,200

Labor costs incurred

Direct labor ($8.50/hour) 77,350

Indirect labor 14,200

Supervisory salaries 6,700

Rental costs

Factory 7,700

Administrative offices 2,500

Total equipment depreciation costs Factory 8,550

Administrative offices 2,650

Indirect materials used 12,700

Required:

Question 1. What is the total cost of Job A?

Question 2. What is the total factory overhead applied during September?

Question 3. What is the overapplied or underapplied overhead for September?