Custom Cabinets Inc. (CCI) uses a job-order costing system. During February and March only 3 jobs were worked on. Job 1602 was completed on March 15th. The other two jobs were still in process at...


Custom Cabinets Inc. (CCI) uses a job-order costing system. During February and March only 3 jobs were worked on. Job 1602 was completed on<br>March 15th. The other two jobs were still in process at March 31st, CCl's year end. Here is a summary of the data from the job cost sheets for the<br>3 jobs:<br>Job 1602<br>Job 1603<br>Job 1604<br>February costs incurred:<br>Direct materials<br>16,000 $<br>9,000 $<br>Direct labour<br>13,500<br>7,300<br>Manufacturing overhead<br>21,600<br>11,680<br>March costs incurred:<br>Direct materials<br>8,400<br>21,000<br>Direct Labour<br>4,000<br>5,800<br>10,300<br>Manufacturing overhead<br>?<br>?<br>Manufacturing overhead is applied to jobs on<br>asis of direct lab<br>cost. Ba<br>ces in the inventory accounts at the end of February were as<br>follows:<br>Raw Materials<br>24<br>40,000<br>Work in Process<br>Finished goods<br>85,000<br>Required (where possible complete your work in the space immediately below each question. If you need more<br>space insert additional rows):<br>1 What is the February 28th work in process balance? Assume no over/under applied manufacturing overhead.<br>2 What is the predetermined overhead rate that CCI uses to apply manufacturing overhead? What manufacturing overhead was applied to the<br>3 jobs in March?<br>3 If CCl incurred actual manufacturing overhead of $4,000 in indirect materials, $8,200 in indirect labour and $20,500 in other various<br>manufacturing overhead costs, what was the over/underapplied overhead for March?<br>4 What is the Raw Materials ending inventory balance at the end of March assuming CCI did not make any raw material purchases during<br>March?<br>5 Assume that, during March, CCI sold goods costing $45,000. What is the finished goods inventory balance at the end of March?<br>

Extracted text: Custom Cabinets Inc. (CCI) uses a job-order costing system. During February and March only 3 jobs were worked on. Job 1602 was completed on March 15th. The other two jobs were still in process at March 31st, CCl's year end. Here is a summary of the data from the job cost sheets for the 3 jobs: Job 1602 Job 1603 Job 1604 February costs incurred: Direct materials 16,000 $ 9,000 $ Direct labour 13,500 7,300 Manufacturing overhead 21,600 11,680 March costs incurred: Direct materials 8,400 21,000 Direct Labour 4,000 5,800 10,300 Manufacturing overhead ? ? Manufacturing overhead is applied to jobs on asis of direct lab cost. Ba ces in the inventory accounts at the end of February were as follows: Raw Materials 24 40,000 Work in Process Finished goods 85,000 Required (where possible complete your work in the space immediately below each question. If you need more space insert additional rows): 1 What is the February 28th work in process balance? Assume no over/under applied manufacturing overhead. 2 What is the predetermined overhead rate that CCI uses to apply manufacturing overhead? What manufacturing overhead was applied to the 3 jobs in March? 3 If CCl incurred actual manufacturing overhead of $4,000 in indirect materials, $8,200 in indirect labour and $20,500 in other various manufacturing overhead costs, what was the over/underapplied overhead for March? 4 What is the Raw Materials ending inventory balance at the end of March assuming CCI did not make any raw material purchases during March? 5 Assume that, during March, CCI sold goods costing $45,000. What is the finished goods inventory balance at the end of March?
6 What is the Work-in-Process Inventory ending balance at March 31st? Assume over/underapplied inventory is closed out to cost of goods<br>sold.<br>

Extracted text: 6 What is the Work-in-Process Inventory ending balance at March 31st? Assume over/underapplied inventory is closed out to cost of goods sold.
Jun 09, 2022
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