Reference no: EM134174

Question :

Company applies overhead costs to products at a rate of 50 % of direct labor costs. The subsequent data relate to the manufacturing activities of Jenkins Company during April:

                                            April 1          April 30

Direct materials inventory 60,250              61,750

Work-in-process inventory 44,000            43,500

Finished goods inventory   24,150            23,000

Factory costs incurred through the month were:

Direct materials purchased          $155,000

Direct labor costs incurred           $270,000

Factory utilities $ 35,000

Factory rent       $ 52,000

Factory supervisor           $ 43,000

Depreciation on factory equipment         $ 25,000

a. Refer to Jenkins Company. Determine the cost of direct materials used during April.

b. Refer to Jenkins Company. Using actual costing, evaluate the cost of the units completed during April and transferred to the finished goods storeroom.

c. Refer to Jenkins Company. Using normal costing, determine the cost of units completed during April and transferred to the finished goods storeroom.