FINANCIAL ACCOUNTING
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ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Transcribed Image Text:Job Costs
At the end of April, Almerinda Company had completed
Jobs 50 and 51. Job 50 is for 23,040 units, and Job 51 is
for 26,000 units.
The following data relate to these two jobs:
On April 6, Almerinda Company purchased on account
60,000 units of raw materials at $12 per unit. On April 21,
raw materials were requisitioned for production as follows:
25,000 units for Job 50 at $10 per unit and 27,000 units for
Job 51 at $12 per unit.
During April, Almerinda Company accumulated 20,000
hours of direct labor costs on Job 50 and 24,000 hours on
Job 51. The total direct labor was incurred at a rate of
$20.00 per direct labor hour for Job 50 and $22.00 per
direct labor hour for Job 51.
Almerinda Company estimates that total factory overhead
costs will be $1,750,000 for the year. Direct labor hours are
estimated to be 500,000.
a. Determine the balance on the job cost sheets for Jobs
50 and 51 at the end of April.
Job 50
Job 51
b. Determine the cost per unit for Jobs 50 and 51 at the
end of April. If required, round your answers to two decimal
places.
Job 50
Job 51
$
Feedback.
$ 31.25
Check My Work
36 ✓
a. The job cost sheet summarizes the direct materials, direct
labor and factory overhead assigned to the job.
b. The total cost for each job should be assigned to the units
completed for each job.
Learning Objective 2.
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