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Problem: Cost Flows
Consider the following independent jobs. Overhead is applied in Department 1 at the rate of $6 per direct labor hour. Overhead is applied in Department 2 at the rate of $8 per machine hour. Direct labor wages average $10 per hour in each department.
Required:
Fill in the missing data for each job. If an amount box does not require an entry, leave it blank or enter zero ("0"). If required, round your answers to two decimal places.
Job 213
Job 214
Job 217
Job 225
Total sales revenue
$
$4,375
$5,600
$1,150
Price per unit
$12
$14
$5
Materials used in production
$365
$488
$207
Department 1, direct labor cost
$700
$2,000
$230
Department 1, machine hours
15
35
50
12
Department 2, direct labor cost
$50
$100
$0
Department 2, machine hours
25
Department 1, overhead applied
$90
$1,200
$138
Department 2, overhead applied
$400
$160
Total manufacturing cost
$855
$3,073
$575
Number of units
350
400
Unit cost
$8.55
$9.87
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