Question

In: Accounting

2. On July 1, Kauffman Oddjobs had two jobs in process as listed below. Job Number...

2. On July 1, Kauffman Oddjobs had two jobs in process as listed below.

Job Number Material costs Labor hours

501 1,068 65

504 2,280 240

Before the year began, Kauffman CFO estimated that total overhead costs for the year would be $377,000 and that he would be able to bill 65,000 direct labor hours of time. Workers at Kauffman are paid 21 per hour. It appears that actual overhead costs for the year will be $389,500 and that Kauffman will bill 64,700 direct labor hours.

During July, Kauffman worked on the following job and incurred the following:

Job Number Material Costs Labor hours

501 $3,640 80

504 4,280 175

506 2,870 134

507 5,450 240

At month end, jobs 501 and 507 were still in process, jobs 504 and 506 were completed and delivered.

A. What is the predetermined overhead rate used by Kauffman?

B. What was the total cost of beginning work in process inventory?

C. What is the value in ending work in process inventory on July 31?

D. What was cost of goods manufactured for july?

Solutions

Expert Solution

ekkarill92 answered 1 year ago
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