Final inspection of job 205 disclosed 600 spoiled coats, which were sold to a jobber for P600,000. What would be the unit cost of the good coats produced on job 205 assuming that spoilage loss is charged to all production? Attributable to exacting specifications of job 205? Barnabal Company's Job 205 for the manufacture of 6,600 coat was completedduring August 2016 at the following unit costs:Direct MaterialsDirect LaborP1,5001,000Factory Overhead (include an allowance of500P3.000P50 for spoiled work)

Barnabal Company's Job 205 for the manufacture of 6,600 coat was completed during August 2016 at the following unit costs: Direct Materials Direct Labor P1,500 1,000 Factory Overhead (include an allowance of 500 P3.000 P50 for spoiled work)

Barnabal Company's Job 205 for the manufacture of 6,600 coat was completed during August 2016 at the following unit costs: Direct Materials Direct Labor P1,500 1,000 Factory Overhead (include an allowance of 500 P3.000 P50 for spoiled work)

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 1EA: Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor...

See similar textbooks

Related questions

Q: Martin Company received an order for 25 automatic mixing machines. Because of the order's exacting…

A: Total original cost = (materials cost + labor cost + manufacturing overhead) x no. of units =…

Q: Chemet manufactures chemicals in a continuous process. The company combines various materials in a…

A: Spoilage: Spoilage is the defective item at intermediate or final stage. The spoilage goods cannot…

Q: Factory overhead (including an allowance of P300 for spoiled work) Josh Inc. has completed the Job…

A: Job costing is one of costing method which is used by the management of an organization which are…

Q: Tools Company manufactures electric drills to the exacting specifications of various customers.…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Near Company's Job 205 for the manufacture of 6,600 coats was completed during February at the…

A: Cost is defined as the amount incurred upon the production of goods or services to make the product…

Q: Fee Co. had a production run of 8,000 pairs of slacks during the last week of June, at the following…

A: 1. Particulars Units Production Cost Production cost per unit: 8,000 904,000 Material 50…

Q: Philantro Metal Shop, manufactures metal products that require casting, such as engine blocks,…

A: The question is related to determination of Selling price of good units if the spoilage is…

Q: Items 15 and 16 are based on the following data: SOL COMPANY's Job 501 for the manufacturing of…

A: SOLUTION- SPOILAGE IS A WASTAGE OR LOSS OF MATERIAL THAT OCCURS DURING THE MANUFACTURING PROCESS.

Q: Guess Apparel completed 3,600 expensive bags during the 1st quarter of the current year. The…

A: In this Question, we have to calculate the amount of bill to the customer and the gross profit on…

Q: Martin Company received an order for 25 automatic mixing machines. Because of the order's exacting…

A: sales order 25 material 80 per unit labour 194 per unit overhead 100% of labour

Q: A manufacturing Company started 1,500 units in process on the job order #2003. The prime cost placed…

A: Cost of production represents the cost incurred by the company in the production process of the…

Q: War Room Company manufactures fire extinguisher per the design and specification of its customers,…

A: Rework is process of correcting defective and non confirming item after inspection.

Q: Blue Co.'s Job 405 for the manufacture of 2,200 wagons was completed during August at the unit costs…

A: Here in this question, we are required to calculate unit cost of goods. When spoilage loss…

Q: A firm uses a process costing st=ystem and inspects its goods at the end of manufacturing.the…

A: FInished goods is defined as the product that has undergone different stages of production. These…

Q: Jellyfish Machine Shop is a manufacturer of motorized carts for vacation resorts. Patrick Cullin,…

Q: 2. GondolaB Company's Job No. 205 (for the manufacture of 6,600 coats) was completed August, 20M at…

A: The total cost of 6000 units manufactured needs to include the loss from defective material sale.

Q: Big Company manufactures electric drills to the exact specifications of various customers. During…

A: JOB COSTING: It is an accounting method designed to help you track the cost of individual projects…

Q: Viber Company manufactures electric drills to the exacting specifications of various customers.…

A: Cost per unit means the cost incurred to produce one unit. Any expenses incurred to rectified the…

Q: KW Inc. manufactured coil over springs for cars. During this year, KW Inc. manufactured 200 units…

A: Cost of reworked = (Direct material + labor + overhead) x no. of units = (100+160+160*150%)*15 =…

Q: Factory overhead, included P10 allowance for spoilage 180 Final inspection revealed that 600 bags…

A: The cost of production includes all the costs that are incurred while producing a particular good…

Q: Martin Company received an order for 25 automatic mixing machines. Because of the order's exacting…

A: Original costs = (Material cost + labor cost + manufacturing overhead) x no. of units =…

Q: Google Co. completed 3,600 expensive ladies bags during the last quarter of the current year. The…

A: Billing Price: After subtracting any trade discounts and quantity discounts from the list price, the…

Q: Zozibini Company completed 5,000 units of customized souvenir items.…

A: Units that are not sold remain in ending inventory.

Q: Job 456 manufactured 12,000 units that were completed in February at unit costs presented as…

Q: A machine shop manufactures a stainless-steel part that is used in an assembled product. Materials…

A: Introduction:- The following basic information as follows under:- Materials charged to a particular…

Q: Martin Company received an order for 25 automatic mixing machines. Because of the order's exacting…

A: Total original cost = (materials cost + labor cost + manufacturing overhead) x no. of units =…

Q: Zea Company’s Job 888 manufactured 13,750 units that were completed in February at unit costs…

A: Unit cost of good units = (Total cost incurred - Realizable value of spoiled units) / No. of good…

Q: A job order for 500 units of children's party giveaways were processed with costs of P80,000 and…

A: Introduction: Cost of goods sold: Cost of goods sold can be defined as the production cost incurred…

Q: For numbers 6 to 8 Best Curtains, Inc. spent P350,400 including applied overhead on a job order of…

A: The sale proceeds of defective goods reduces the total cost of manufacture.

Q: Cycle Gear Corporation has Incurred the following costs on job W456, an order for 20 special…

A: Cost accounting process is the method that is used to know the different types of the cost related…

Q: ABC Company produces products that require a process costing method. For the first year of…

A: The total cost of producing a product, including raw materials and operating costs, is detailed in a…

Q: How much is the amount charged to factory overhead control?

A: P 315000 will be charged to Factory Overhead Control.

Q: During March, Mark Company incurred the following costs on Job 209 for the 200 motors: Original cost…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Jellyfish Machine Shop is a manufacturer of motorized carts for vacation resorts. Patrick Cullin,…

A: Spoilage refers to the wastage or the loss of material occurred during the manufacturing of the…

Q: AAV Company's Job 168 for the manufacture of 2,500 coats in August was completed with a cost per…

A: Job costing: Job costing refers to a technique or method by which the cost of a particular job is…

Q: Jellyfish Machine Shop is a manufacturer of motorized carts for vacation resorts. Patrick Cullin,…

Q: KW Inc. manufactured coil over springs for cars. During this year, KW Inc. manufactured 200 units…

A: Cost of reworked = (Direct material + labor + overhead) x no. of units = (100+160+160*150%)*15 =…

Q: Prudoe Compounds produces a variety of chemicals used by auto manufacturers in their painting…

A: Predetermined overhead rate = Budgeted overhead/estimated direct Labor hours

Q: Ram furnitures produces chairs and tables in accordance with job orders from customers. Given below…

A: Normal Spoilage is the loss in value of goods during manufacturing process due to certainties.…

Q: Samantha's Office Supplies manufactures desk organizers in its Processing materials are included at…

A: Process costing is a method of cost accounting, which is used where there is continuous production…

Q: Harper Company's Job 301 for the manufacture of 2,200 T-shirts was completed during August 2014 at…

A: Total cost of spoiled 200 t-shirts = 200 x P56 = P11,200 The spoiled T-shirts sold to jobber at…

Q: Martin Company received an order for 25 automatic mixing machines. Because of the order's exacting…

A: Original costs = (Material cost + labor cost + manufacturing overhead) x no. of units =…

Q: ABC Company’s Job 123 for the manufacture of 2,000 bags was completed during June 2022 at the…

A: Total manufacturing costs of a job includes direct material costs, direct labour costs and factory…

Q: Martin Company received an order for 25 automatic mixing machines. Because ofthe order's exacting…

A: Completed units are ones that have been finished in terms of raw materials, labor, and production…

Q: Big Company manufactures electric drills to the exact specifications of various customers. During…

A: Job costing is a method of costing in which all costs are assigned and calculated on the basis of…

Q: Jacob Manufacturing Corp's Job 402 for the manufacture of 2,000 coats, which was completed during…

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

Q: Pharoah Corp. received an order for 25 automatic mixing machines. Because of the order's exacting…

A: The question is related to determination of unit cost of Completed units. The details of cost per…

Q: Direct materials Direct labor Applied factory overhead P10 8 12 P30 Total Final inspection of Job…

A: Total Original costs = Total cost per unit x no. of units = P30 x 1100 units = P33,000

Q: Cycle Gear Corporation has incurred the following costs on job W456, an order for 20 special…

A: In job costing, whenever material is required to complete specific job, it is withdrawn form the…

Question

100%

Final inspection of job 205 disclosed 600 spoiled coats, which were sold to a jobber for P600,000.

What would be the unit cost of the good coats produced on job 205 assuming that spoilage loss is charged to all production? Attributable to exacting specifications of job 205?

Barnabal Company's Job 205 for the manufacture of 6,600 coat was completed
during August 2016 at the following unit costs:
Direct Materials
Direct Labor
P1,500
1,000
Factory Overhead (include an allowance of
500
P3.000
P50 for spoiled work)

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1 Introduction

VIEW

Step 2 Calculating the required part.

VIEW

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Similar questions

Compute the total job cost for each of the following scenarios: a. If the direct labor cost method is used in applying factory overhead and the predetermined rate is 100%, what amount should be charged to Job 2010 for factory overhead? Assume that direct materials used totaled 5,000 and that the direct labor cost totaled 3,200. b. If the direct labor hour method is used in applying factory overhead and the predetermined rate is 10 an hour, what amount should be charged to Job 2010 for factory overhead? Assume that the direct materials used totaled 5,000, the direct labor cost totaled 3,200, and the number of direct labor hours totaled 250. c. If the machine hour method is used in applying factory overhead and the predetermined rate is 12.50 an hour, what amount should be charged to Job 2010 for factory overhead? Assume that the direct materials used totaled 5,000, the direct labor cost totaled 3,200, the direct labor hours were 250 hours, and the machine hours were 295 hours.
Rulers Company is a neon sign company that estimated overhead will be $60,000, consisting of 1,500 machine hours. The cost to make Job 416 is $95 in neon, 15 hours of labor at $13 per hour, and five machine hours. During the month, it incurs $95 in indirect material cost, $130 in administrative labor, $320 in utilities, and $350 in depreciation expense. What is the predetermined overhead rate if machine hours are considered the cost driver? What is the cost of Job 416? What is the overhead incurred during the month?
York Company Is a machine shop that estimated overhead will be $50,000, consisting of 5,000 hours of direct labor. The cost to make job 0325 is $70 in aluminum and two hours of labor at $20 per hour. During the month. York incurs $50 in indirect material cost. $150 in administrative labor, $300 in utilities, and $250 in depreciation expense. What is the predetermined overhead rate if direct labor hours are considered the cost driver? What is the cost of Job 0325? What is the overhead incurred during the month?
Baldwin Printing Company uses a job order cost system and applies overhead based on machine hours. A total of 150,000 machine hours have been budgeted for the year. During the year, an order for 1,000 units was completed and incurred the following: The accountant computed the inventory cost of this order to be 4.30 per unit. The annual budgeted overhead in dollars was: a. 577,500. b. 600,000. c. 645,000. d. 660,000.
Queen Bees Honey, Inc., estimated its annual overhead to be $110,000 and based its predetermined overhead rate on 27,500 direct labor hours. At the end of the year, actual overhead was $106,000 and the total direct labor hours were 29,000. What is the entry to dispose of the over applied or under applied overhead?
The following product costs are available for Kellee Company on the production of eyeglass frames: direct materials, $32,125; direct labor, $23.50; manufacturing overhead, applied at 225% of direct labor cost; selling expenses, $22,225; and administrative expenses, $31,125. The direct labor hours worked for the month are 3,200 hours. A. What are the prime costs? B. What are the conversion costs? C. What is the total product cost? D. What is the total period cost? E. If 6.425 equivalent units are produced, what is the equivalent material cost per unit? F. What is the equivalent conversion cost per unit?
Pocono Cement Forms expects $900,000 in overhead during the next year. It does not know whether it should apply overhead on the basis of its anticipated direct labor hours of 60,000 or its expected machine hours of 30,000. Determine the product cost under each predetermined allocation rate if the last job incurred $1,550 in direct material cost, 90 direct labor hours, and 75 machine hours. Wages are paid at $16 per hour.
AAA Appliances Inc. has two production departments. The nature of the process is such that no units remain in process in Finishing at the end of the period. At the beginning of the period, 10,000 units with a cost of 30,000 were transferred from Assembly to Finishing. Finishing incurred costs of 8,800 for materials, 7,200 for labor, and 8,800 for factory overhead, and finished 10,000 units during the month. Using the data in E5-9, prepare a statement of cost of goods manufactured for the month ended January 31, 2016, assuming that no further work was done in Assembly during January.
Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor hours costing $2,500,000 in labor and utilizing 12,500 machine hours. Calculate the predetermined overhead rate using: A. Direct labor hours B. Direct labor dollars C. Machine hours
Coops Stoops estimated its annual overhead to be $85,000 and based its predetermined overhead rate on 24,286 direct labor hours. At the end of the year, actual overhead was $90,000 and the total direct labor hours were 24,100. What is the entry to dispose of the over applied or under applied overhead?
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
Comacho Chemical Co. recorded costs for the month of 18,900 for materials, 44,100 for labor, and 26,250 for factory overhead. There was no beginning work in process, 8,000 units were finished, and 3,000 units were in process at the end of the period, two-thirds completed. Compute the months unit cost for each element of manufacturing cost and the total per unit cost. (Round unit costs to three decimal places.)