Question

Job 593 was recently completed. The following data have been recorded on its job cost sheet: Direct materials $2,472 Direct labor-hours 74 labor-hours Direct labor wage rate $ 19 per labor-hour Machine-hours 134 machine-hours The Corporation applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $20 per machine-hour. The total cost that would be recorded on the job cost sheet for Job 593 would be:

Answer 1

Answer:

Total Cost Job 593 6557

Explanation:

Job 593

$cost = materials + labor + overhead$

DM 2,471

DL 1,406 ( 74 labor hours x $19 labor rate)

FO 2,680 (134 machine hours x 20 FO rate)

Total Cost 6557

Remember, for Direct Labor and machien hours, you needto multiply the amount of hour applied in the job by the rate.