Job Order Cost Sheet Remnant Carpet Company sells and installs commercial carpeting for office buildings. Remnant Carpet Company uses a job order cost system. When a prospective customer asks for a price quote on a job, the estimated cost data are inserted on an unnumbered job cost sheet. If the offer is accepted, a number is assigned to the job and the costs incurred are recorded in the usual manner on the job cost sheet. After the job is completed, reasons for the variances between the estimated and actual costs are noted on the sheet. The data are then available to management in evaluating the efficiency of operations and in preparing quotes on future jobs. On October 1, Remnant Carpet Company gave Jackson Consulting an estimate of $3,133 to carpet the consulting firm’s newly leased office. The estimate was based on the following data: Estimated direct materials: 40 sq. ft. at $34 per sq. ft. $1,360 Estimated direct labor: 20 hours at $30 per hour 600 Estimated factory overhead (75% of direct labor cost) 450 Total estimated costs $2,410 Markup (30% of production costs) 723 Total estimate $3,133 On October 3, Jackson Consulting signed a purchase contract, and the delivery and installation was completed on October 10. The related materials requisitions and time tickets are summarized as follows: Materials Requisition No. Description Amount 112 20 sq. ft. at $34 $680 114 24 sq. ft. at $34 816 Time Ticket No. Description Amount H10 10 hours at $30 $300 H11 14 hours at $30 420 Required: Enter amounts as positive numbers. 1. Complete that portion of the job order cost sheet that would be prepared when the estimate is given to the customer. 2. Record the costs incurred and complete the job order cost sheet.
Job Order Cost Sheet
Remnant Carpet Company sells and installs commercial carpeting for office buildings. Remnant Carpet Company uses a job order cost system. When a prospective customer asks for a price quote on a job, the estimated cost data are inserted on an unnumbered
Estimated direct materials:
40 sq. ft. at $34 per sq. ft.
$1,360
Estimated direct labor:
20 hours at $30 per hour
600
Estimated factory overhead (75% of direct labor cost)
450
Total estimated costs
$2,410
Markup (30% of production costs)
723
Total estimate
$3,133
On October 3, Jackson Consulting signed a purchase contract, and the delivery and installation was completed on October 10.
The related materials requisitions and time tickets are summarized as follows:
Materials Requisition No. Description Amount
112 20 sq. ft. at $34 $680
114 24 sq. ft. at $34 816
Time Ticket No. Description Amount
H10 10 hours at $30 $300
H11 14 hours at $30 420
Required:
Enter amounts as positive numbers.
1. Complete that portion of the job order cost sheet that would be prepared when the estimate is given to the customer.
2. Record the costs incurred and complete the job order cost sheet.
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