Question 2 Warren Manufacturing began business on January 1. During its first year of operation, Warren worked on five industrial jobs and reported the following information at year - end:Job 1Job 2Job 3Job 4Job 5Direct Materials$1,00012,0001,500$3,70012,7007,100$7,500$4,80013,800$1,500Direct Labor20,000800Allocated Mfg. Overhead6,0002,400200NotJob completed:Jun 30Oct 15Nov 1 completedSep 1Sep 12$39,000Job sold:Jul 10Not soldNot soldN/ARevenues:$25,000N/AN/AN/AWhat was the balance in Finished Goods Inventory at year - end?O A. $44,500О В. $35,000O C. $21,000D. $23,500

The cost of jobs that are completed but not sold yet are transferred to finished goods inventory.

Warren Manufacturing began business on January 1. During its first year of operation, Warren worked on five industrial jobs and reported the following information at year - end: Job 1 Job 2 Job 3 Job 4 Job 5 $1,000 12,000 $7,500 20,000 $4,800 13,800 Direct Materials $3,700 $1,500 Direct Labor 12,700 800 Allocated Mfg. Overhead 1,500 6,000 2,400 7,100 200 Not Oct 15 Not sold Job completed: Jun 30 Sep 1 Sep 12 $39,000 Nov 1 completed Not sold Job sold: Jul 10 N/A Revenues: $25,000 N/A N/A N/A What was the balance in Finished Goods Inventory at year - end? O A. $44,500 O B. $35,000 OC. $21,000 O D. $23,500

Warren Manufacturing began business on January 1. During its first year of operation, Warren worked on five industrial jobs and reported the following information at year - end: Job 1 Job 2 Job 3 Job 4 Job 5 $1,000 12,000 $7,500 20,000 $4,800 13,800 Direct Materials $3,700 $1,500 Direct Labor 12,700 800 Allocated Mfg. Overhead 1,500 6,000 2,400 7,100 200 Not Oct 15 Not sold Job completed: Jun 30 Sep 1 Sep 12 $39,000 Nov 1 completed Not sold Job sold: Jul 10 N/A Revenues: $25,000 N/A N/A N/A What was the balance in Finished Goods Inventory at year - end? O A. $44,500 O B. $35,000 OC. $21,000 O D. $23,500

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 12PA: The following data summarize the operations during the year. Prepare a journal entry for each...

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