For August, Royal Consulting and Mediation Practice (RCMP) worked 900 hours for Alberta Company and 2,100 hours for Ontario Corporation. RCMP bills clients at the rate of $400 per hour, labor cost for its consulting staff is $200 per hour. The total number of hours worked in August was 3,000, and overhead costs were $60,000. Overhead is applied to clients at $24 per labor-hour. In addition, RCMP had $240,000 In marketing and administrative costs. All transactions are on account. All services were billed transaction Description Record Labor cost Record Applied Service ovechead Record Cost of services billed Record Actual Service overhead (4) (b) (e) (d) Required: a Show labor and overhead cost flows through T-accounts. b. Prepare an income statement for the company for August Complete this question by entering your answers in the tabs below. Required A
For August, Royal Consulting and Mediation Practice (RCMP) worked 900 hours for Alberta Company and 2,100 hours for Ontario Corporation. RCMP bills clients at the rate of $400 per hour, labor cost for its consulting staff is $200 per hour. The total number of hours worked in August was 3,000, and overhead costs were $60,000. Overhead is applied to clients at $24 per labor-hour. In addition, RCMP had $240,000 In marketing and administrative costs. All transactions are on account. All services were billed transaction Description Record Labor cost Record Applied Service ovechead Record Cost of services billed Record Actual Service overhead (4) (b) (e) (d) Required: a Show labor and overhead cost flows through T-accounts. b. Prepare an income statement for the company for August Complete this question by entering your answers in the tabs below. Required A
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter3: Process Cost Systems
Section: Chapter Questions
Problem 4E: The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the...
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a. Show labor and
b. Prepare an income statement for the company for August.
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