Diaz and Associates incurred the following direct labor costs in completing tax services job for a client. Diaz applies overhead at 50% of direct labor cost. Direct Labor on Tax Job Partner Senior manager Staff accountants Direct labor type Hours Used Total direct labor cost Overhead Estimated Applied Overhead Total cost 7 19 140 1. Determine the total cost of this tax services job. Estimated Cost Hourly Rate $ 490 170 60 Hours used Hourly rate OH Base Labor Cost OH rate Total Cost 2. If Diaz charged $28,000 for this tax services job, what is the gross profit for the job? Gross Profit

Diaz and Associates incurred the following direct labor costs in completing tax services job for a client. Diaz applies overhead at 50% of direct labor cost. Direct Labor on Tax Job Partner Senior manager Staff accountants Direct labor type Hours Used Total direct labor cost Overhead Estimated Applied Overhead Total cost 7 19 140 1. Determine the total cost of this tax services job. Estimated Cost Hourly Rate $ 490 170 60 Hours used Hourly rate OH Base Labor Cost OH rate Total Cost 2. If Diaz charged $28,000 for this tax services job, what is the gross profit for the job? Gross Profit

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 10EB: Inez has the following information relating to Job AA5. Direct material cost was $200,000, direct...

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Diaz and Associates incurred the following direct labor costs in completing tax services job for a client. Diaz applies overhead at 50% of direct labor cost Direct Labor on Tax Job Partner Senior manager Staff accountants Hours Used 4 14 110 Direct labor type 1. Determine the total cost of this tax services job. Estimated Cost Hours used Hourly rate Hourly Rate $ 470 190 60 Total direct labor cost Overhead Estimated Applied Overhead Total cost OH Base Labor Cont OH rate Total Cost 2. if Diaz charged $22,000 for this tax services Job, what is the gross profit for the job? Gross Profit
18. What is the certificate that is given to employee at the end of the year to aid him in the filing of his annual income tax return? a. Certificate of income tax withheld b. Certificate of employment. c. Certificate of compensation payment - tax withheld. d. Certificate of salaries paid. 19. In a job-order costing system, the cost incurred to rework unit that are common to all jobs should be debited to: a. Work in Process b. Manufacturing Overhead c.Materials d. Manufacturing Overhead Applied 20. In a job-order costing system, the recovery value of scrap that is significant in economic value, abnormal and due to the nature of particular jobs should be credited to: a. Work in Process b. Manufacturing Overhead c.Loss from Abnormal Spoilage d.Materials
Diaz and Associates incurred the following direct labor costs in completing tax services job for a client. Diaz applies overhead at 50% of direct labor cost. (Please see picture for rest of info).
WUIKS UH three jobs during the upcoming year. Direct labor-hours recorded by job are: job 237, 7,000 hours; job 250. 30,000 hours; and job 239, 21.000 hours. How much overhead cost will the company apply to Work in Process for the year? If actual costs are P420,000 for the year, will overhead be underapplied or overapplied? by how much? Exercise 4 (Departmental Overhead Rates) Bobcat Company has two departments, milling and assembly. The company uses a job-order cost system and computes a predetermined overhead rate in each department. The milling department bases its rate on machine-hours, and the assembly department bases its rate on direct labor cost. At the beginning of the year, the company made the following estimates: Department Milling 8,000 60,000 P510,000 72,000 Assembly Direct labor-hours 75,000 3,000 P800,000 640,000 Machine-hours Manufacturing overhead cost Direct labor cost Required: 1. Compute the predetermined overhead rate to be used in each department. 2. Assume that…
Mr. Abdul is a general manger of Al Nizwa Production LLC. Mr. Abdul has provided the following cost data from the cost sheet of a job and requested you to determine the percentage of profit to cost. Direct Material RO 6,000, Production overheads RO 4,000, General Overheads RO 7,000, Distribution Overhead RO 4,000, Direct expenses RO 4,000, and Sales Value RO 30,000. a. 61.67% b. 2.00% c. 20.00% d. 16.67%
Job order cost sheets show the following costs assigned to each job: The company assigns overhead at $1.25 for each direct labor dollar spent. What is the total cost for each of the jobs?
Sigma Corporation applies overhead cost to jobs on the basis of direct labor cost. Job V, which was started and completed during the current period, shows charges of $5,000 for direct materials, $8,300 for direct labor, and $5,810 for overhead on its job cost sheet. Job W, which is still in process at year-end, shows charges of $3,200 for direct materials and $5,600 for direct labor. Required: 1a. Should any overhead cost be applied to to Job W at year-end? 1b. How much overhead cost should be applied to Job W? 2. How will the costs included in Job W’s job cost sheet be reported within Sigma Corporation’s financial statements at the end of the year?
Sigma Corporation applies overhead cost to jobs on the basis of direct labor cost. Job V, which was started and completed during the current period, shows charges of $5,100 for direct materials, $10,000 for direct labor, and $7,400 for overhead on its job cost sheet. Job W, which is still in process at year-end, shows charges of $2,800 for direct materials and $5,200 for direct labor. Required: 1a. Should any overhead cost be applied to Job W at year-end? 1b. How much overhead cost should be applied to Job W? 2. How will the costs included in Job W's job cost sheet be reported within Sigma Corporation's financial statements at the end of the year? Complete this question by entering your answers in the tabs below. Required la Required 1b Required 2 Should any overhead cost be applied to Job W at year-end? Should any overhead cost be applied to Job Wat year-end?
Sigma Corporation applies overhead cost to jobs on the basis of direct labor cost. Job V, which was started and completed during the current period, shows charges of $6,900 for direct materials, $8,100 for direct labor, and $4,617 for overhead on its job cost sheet. Job W, which is still in process at year-end, shows charges of $2,900 for direct materials and $4,000 for direct labor. Required: 1a. Should any overhead cost be applied to Job W at year-end? 1b. How much overhead cost should be applied to Job W? 2. How will the costs included in Job W's job cost sheet be reported within Sigma Corporation's financial statements at the end of the year? Answer is not complete. Complete this question by entering your answers in the tabs below. Required lb Should any overhead cost be applied to Job W at year-end? Should any overhead cost be applied to Job Wat year-end?
Compute the amount of raw materials used during November if $32,000 of raw materials were purchased during the month and if the inventories were as follows: Balance Balance Inventories November 1 November 30 Raw materials Work in process Finished goods $ 7,800 $ 6,400 $10,400 $ 4,400 $ 7,900 $12,400 Multiple Choice $33,500 $31,900 $29,400 $35,400
Sigma Corporation applies overhead cost to jobs on the basis of direct labor cost. Job V, which was started and completed during the current period, shows charges of $6,500 for direct materials, $9, 700 for direct labor, and S 7,081 for overhead on its job cost sheet. Job W, which is still in process at year-end, shows charges of $4, 200 for direct materials and $4, 200 for direct labor. Required: 1a. Should any overhead cost be applied to Job Wat year-end? 1b. How much overhead cost should be applied to Job W? 2. How will the costs included in Job W's job cost sheet be reported within Sigma Corporation's financial statements at the end of the year?
Kline Manufacturing has the following labor costs. Factory - Gross wages = $195,000 Factory - Net wages = $160,000 Employer Payroll Taxes Payable = $25,000 The entry to record the cost of factory labor and the associated payroll tax expense will include a debit to Factory Labor for what amount?