Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system. The time tickets from November jobs are summarized as follows: Job 11-101 $5,140 Job 11-102 6,020 Job 11-103 4,120 Job 11-104 8,205 Factory supervision 2,885   Factory overhead is applied to jobs on the basis of a predetermined overhead rate of $27 per direct labor hour. The direct labor rate is $55 per hour. Required:   a. Journalize the November 30 entry to record the factory labor costs.   b. Journalize a second entry on November 30 to apply factory overhead to production for November. *Refer to the chart of accounts for the exact wording of the account titles. CHART OF ACCOUNTS Townsend Industries Inc. General Ledger   ASSETS 110 Cash 121 Accounts Receivable 125 Notes Receivable 126 Interest Receivable 131 Materials 132 Work in Process 133 Factory Overhead 134 Finished Goods 141 Supplies 142 Prepaid Insurance 143 Prepaid Expenses 181 Land 191 Factory 192 Accumulated Depreciation-Factory   LIABILITIES 210 Accounts Payable 221 Utilities Payable 231 Notes Payable 236 Interest Payable 241 Lease Payable 251 Wages Payable 252 Consultant Fees Payable   EQUITY 311 Common Stock 340 Retained Earnings 351 Dividends 390 Income Summary

Q: Copy Center pays an average wage of $13 per hour to employees for printing and copying jobs, and…

A: Calculation of the selling price of the job:- The selling price of the job is $1,133.

Q: Bogs Company uses a job-order costing system.  The company applies manufacturing overhead to jobs…

A: The predetermined overhead rate is calculated as estimated overhead cost divided by base activity.

Q: 12. Job 765 produced 152 units, and Job 766 consisted of 250 units. Assuming that the predetermined…

A:

Q: Jenkins Company uses a job order cost system with overhead applied to jobs on the basis of direct…

A: Cost allocation is a process of assigning or allocating indirect cost to each and every unit using a…

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: Journal is the primary book where the transactions are originally recorded. Further, a journal entry…

Q: Elegance Interior Design Ltd uses a job order cost accounting system and applies the overhead on the…

A: The question is based on the concept of cost accounting.

Q: Lucy Sportswear manufactures a specialty line of T-shirts using a job ordercost system. During…

A: The cost of goods sold per unit is calculated as total cost of goods sold divided by number of units…

Q: kansas manufacturing company uses a job-order costing system and started the month of October with a…

A: Formula: Cost of goods manufactured = Total cost of Job B18 + Total cost of Job B19 Total cost =…

Q: PAMELA Manufacturing Company uses a job order cost system. The following debits (credits) appeared…

A: >Direct material is the cost of material that have been used directly in the production process…

Q: Lucy Sportswear manufactures a specialty line of T-shirts. The company uses a job-order costing…

A: Cost of Goods Sold per shirt = Total manufacturing costs / No. of shirts where, Total manufacturing…

Q: Jones Company uses a job-order costing system with a predetermined overhead rate of 120% of direct…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Journalize the entry to record the factory labor costs. If an amount box does not require an entry,…

A: Overheads are the cost incurred for running day to day operations but these costs are not…

Q: Bogs Company uses a job-order costing system.  The company applies manufacturing overhead to jobs…

A: predetermined overhead rate based on direct labor hours =  Budgeted manufacturing overhead/estimated…

Q: Parker Company uses a job-order costing system and applies manufacturing overhead to jobs using a…

A: job cost sheet is such a sheet that is prepared of the actual cost of a job. the actual cost of job…

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: Factory overhead is calculated on the basis of of pre determined overhead rate. Pre determined…

Q: .  Journalize the entry to record the factory labor costs. If an amount box does not require an…

A: Job order costing: A costing system in which manufacturing cost of each unit is assigned and…

Q: The factory has one production department and uses the direct labor hour method to apply factory…

A: Direct materials: It is the basic input required to manufacture the finished products. The…

Q: The following information is available for Lock-Tite Company, which produces special-order security…

A: Direct materials and direct labor are costs which can be identified with the units of goods produced…

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: A job order costing system is used when there is an order of unique products. It is used to…

Q: Baginski Company uses a normal job costing system and allocates manufacturing overhead on the basis…

A: Work in process refers to the goods that are manufactured partially and completion of such goods is…

Q: Matt, Inc., a toy manufacturing company uses job order cost system. The time tickets from September…

A: Introduction:- A component of the wage bill or payroll that can be precisely and consistently…

Q: Bakersville Company is a manufacturing firm that uses job-order costing. The company's inventory…

A: The cost of goods manufactured is the total value of inventory produced during a period that is…

Q: Hodges Company uses a job-order costing system and has the following information for the first week…

A: Overhead means the cost incurred indirect in factory for the production of goods. Job costing means…

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: Particulars Amount Job 201 $6,240 Job 202 7,000 Job 203 5,210 Job 204 6,750 Total  $25,200…

Q: Dillon Products manufactures various machined parts to customer specifications. The company uses a…

A: Hey, since there are multiple requirements posted, we will answer the first three requirements. If…

Q: Pol Industries uses a job order cost system and applies manufacturing overhead costs to jobs using a…

A: Compute number of labor hours used for job #232 as shown below:

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: Journalizing is a process of recording the financial transactions in the books of accounts. Journal…

Q: Jenkins Company uses a job order cost system with overhead applied to jobs on the basis of direct…

A: Compute work in process at end of April as shown below:

Q: Entries for direct labor and factory overhead   Townsend Industries Inc.manufactures recreational…

A: Factory labour costs is costs related with the cost of labourers that are engaged in the production…

Q: Kite Corp. manufactures custom cabinets and uses a job-order costing system. The company had two…

A: Job costing: It is a method of costing where in all the costs like direct material, direct labor and…

Q: Journalize the entry to record the factory labor costs. If an amount box does not require an entry,…

A: Manufacturing overheads are the costs incurred upon the production of goods for its final output.…

Q: Crane Manufacturing uses a job order cost system to account for its production of specialty patio…

A: Cost accounting is a type of accounting that records and measures the cost of good manufactured,…

Q: Townsend Industries Inc. manufactures recreational vehicles. Townsend uses a job order cost system.…

A: Job-Order Cost System method ascertains cost of individual products that are produced by different…

Q: Forester Manufacturing Company uses a job order cost accounting system to keep track of finished…

A: 1. Prepare general journal entries for the foregoing transactions.

Q: Ola Ltd, which uses a job costing system, had two jobs in process at the start of the year: Job L1…

A: The following computations are done for Ola Limited.

Q: Bernard Incorporated uses a job-order costing system and a predetermined overhead rate based on…

A: The predetermined overhead rate is calculated as estimated overhead cost divided by estimated base…

Q: Chamlee Industries Inc. manufactures recreational vehicles. Chamlee Industries uses a job order cost…

A: a) determining the total factory labor cost   particulars   amount              Job…

Q: Cavy Company estimates that the factory overhead for the following year will be $1,066,000. The…

A: Predetermined Overhead rate = Estimated overhead / Estimated machine hours Predetermined Overhead…

Q: Bright Star Incorporated is a job-order manufacturer. The company uses predetermined overhead rate…

A: Introduction: Cost refers to the money spent to create and sell goods or services, or to acquire…

Q: Yurman Inc. uses a job-order costing system. During the month of May, the following transactions…

A: Direct materials: It is the basic input required to manufacture the finished products. The…

Q: At the end of April, Cavy Company had completed Jobs 765 and 766. The individual job cost sheets…

A: A) balance of job cost sheet Job no. 765-        $13770 Job no. 766-      $27840   B) cost per unit-…

Q: Copy Center pays an average wage of $12 per hour to employees for printing and copying jobs, and…

A: The overhead is applied to the production on the basis estimated base activity.

Q: At the end of April, Cavy Company had completed Jobs 765 and 766. The individual job cost sheets…

A: Manufacturing overhead = No. of machine hours x rate per hour Manufacturing overhead (Job 765) = 27…

Q: In January, Reyes Tool & Die Company requisitions raw materials for production as follows: Job 1…

A: Given the following information: Job 1 Raw materials: $970 Job 2 Raw materials: $1,120 Job 3 Raw…

Q: Jenkins Company uses a job order cost system with overhead applied to jobs on the basis of direct…

A: It is assumed that the balance of work-in progress, finished goods & cost of goods sold is to be…

Q: Bernard Incorporated uses a job-order costing system and a predetermined overhead rate based on…

A: The job order costing system is used to determine the cost of each product by those organizations…

Q: Entries for Direct Labor and Factory Overhead Townsend Industries Inc. manufactures recreational…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by…

Q: Kansas manufacturing company uses a job-order costing system and started the month of October with a…

A: Given:   Job B18 Job B19 Job C11 Direct materials  $13,000   $25,000   $16,000   Direct labor…

Q: Tyler Tooling Company uses a job order cost system with overhead applied to products on the basis of…

A: Given the following information: Estimated total manufacturing overhead cost: $234,840 Total…

Q: Ark Co. uses a job order costing system. At the beginning of January, the company had 2 jobs in…

A: Overheads are the indirect costs and expenses related to production and manufacturing of products.…

Process Costing

Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.  

Job Costing

Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.

ABC Costing

Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.