Acc 206 Week three Assignment
Chapter 4 and 5 Problems
Please complete the following 7 exercises below in either Excel or a word document (but must be single document). You must show your work where appropriate (leaving the calculations within Excel cells is acceptable). Save the document, and submit it in the appropriate week using the Assignment Submission button.
Chapter 4 Exercise 3
3. Cost flows and overhead application
Cleveland Metals uses a job cost system and applies factory overhead to production at a predetermined rate of 180% of direct labor cost. Data pertaining to recent operations follow.
Job no. 636 was the only job in process on January 1 of the current year. The Work in Process account contained a $24,600 balance on this date.
Jobs no. 637, 638, and 639 were started during January.
Total direct material requisitions and direct labor incurred during January amounted to $89,200 and $114,500, respectively.
The only job that remained in process on January 31 was job no. 638, with costs of $15,000 for direct materials and $20,000 for direct labor.
a. Compute the total cost of the work in process inventory on January 31. The January 31 work in process consists of job 638. Direct Materials $15,000 Direct labor 20,000 Factory overhead (180% of direct labor) 36,000 Total cost of work in progress $71,000
b. Compute the cost of jobs completed during January, and present the proper journal entry to reflect job completion. Beginning work in process 24,600 Cost placed in production Direct materials 89,200 Direct labor 114,500 Factory overhead (180% of direct labor) 206,100 Total production costs to account for 434,400 Less:Portion remaining in work in process 71,000 Cost of jobs completed during January 363,400
Finished Goods 363,400 Work in Process 363,400
To record job completion
Chapter 4 Exercise 7
7. Overhead application:
Please complete the following 7 exercises below in either Excel or a word document (but must be single document). You must show your work where appropriate (leaving the calculations within Excel cells is acceptable). Save the document, and submit it in the appropriate week using the Assignment Submission button.
Chapter 4 Exercise 3
3. Cost flows and overhead application
Cleveland Metals uses a job cost system and applies factory overhead to production at a predetermined rate of 180% of direct labor cost. Data pertaining to recent operations follow.
Job no. 636 was the only job in process on January 1 of the current year. The Work in Process account contained a $24,600 balance on this date.
Jobs no. 637, 638, and 639 were started during January.
Total direct material requisitions and direct labor incurred during January amounted to $89,200 and $114,500, respectively.
The only job that remained in process on January 31 was job no. 638, with costs of $15,000 for direct materials and $20,000 for direct labor.
a. Compute the total cost of the work in process inventory on January 31. The January 31 work in process consists of job 638. Direct Materials $15,000 Direct labor 20,000 Factory overhead (180% of direct labor) 36,000 Total cost of work in progress $71,000
b. Compute the cost of jobs completed during January, and present the proper journal entry to reflect job completion. Beginning work in process 24,600 Cost placed in production Direct materials 89,200 Direct labor 114,500 Factory overhead (180% of direct labor) 206,100 Total production costs to account for 434,400 Less:Portion remaining in work in process 71,000 Cost of jobs completed during January 363,400
Finished Goods 363,400 Work in Process 363,400
To record job completion
Chapter 4 Exercise 7
7. Overhead application: