contestada

Crane Manufacturing Company uses a job order cost system and keeps perpetual inventory records

June

1 Purchased raw materials for $25,200 on account.

8 Raw materials requisitioned by production:

Direct

materials

Indirect

$10,080

materials

1.260

15

Paid factory utilities, $2.646 and repairs for factory equipment, $10,080.

25

25

Incurred $114.000 of factory labor

Time tickets indicated the following

Direct Labor

(7.000 hrs $12

per hel

$84,000

Indirect Labor

(3.000 hrs $10

30,000

App

hou

$114.000

25 Applied manufacturing overhead to production based on a predetermined overhead rate of $9 per direct labor hour worked.

28 Goods costing $18,120 were completed in the factory and were transferred to finished goods inventory.

30 Goods costing $15,120 were sold for $20,120 on account.