Reference no: EM132548714
Job Costs, Ending Work in Process
During March, Aragon Company worked on three jobs. Data relating to these three jobs follow:
Job 78 Job 79 Job 80
Units in each order 260 230 200
Units sold - 230 -
Materials requisitioned $1,976 $1,265 $2,220
Direct labor hours 286 253 320
Direct labor cost $4,004 $3,289 $2,816
Overhead is assigned on the basis of direct labor hours at a rate of $7.70 per direct labor hour. During March, Jobs 78 and 79 were completed and transferred to Finished Goods Inventory. Job 79 was sold by the end of the month. Job 80 was the only unfinished job at the end of the month.
Required:
Question 1. Calculate the per-unit cost of Jobs 78 and 79. Round your answers to the nearest cent.
Question 2. Compute the ending balance in the work-in-process inventory account. Round your answer to the nearest cent.
Question 3. Prepare the journal entries reflecting the completion of Jobs 78 and 79 and the sale of Job 79. The selling price is 140 percent of cost. Round your answers to the nearest cent.