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Question - Madtack Company uses a job-order costing system and started the month of March with three jobs in process. The cost of beginning work in process plus the costs added during March are shown below:
Job #359
Job #360
Job #361
Beginning work in process
$4,800
$3,500
$5,300
COSTS ADDED DURING MARCH:
Direct materials
$4,100
$3,000
$6,400
Direct labor
5,000
3,900
4,000
Madtack applies overhead to jobs at a rate of 80% of direct materials used. During March, Madtack completed and sold Job #361. Job #359 was also completed but was not sold by the end of March. Job #360 was not completed by the end of March. Madtack's actual overhead cost for the month of March totaled $11,500. Calculate Madtack's cost of goods manufactured for March.
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