Reference no: EM132999119

Question - Stan Wilson, a newly hired worker at Superior Molding, was puzzled by the job cost sheets attached to the jobs he worked on. He understood the materials and labour cost entries - these represent the actual costs of materials he requisitioned for the job and the cost of the labour hours he recorded for the job. However, he did not understand the entry for manufacturing overhead. This entry was made at the end of the day by the accountants and he had no idea where this number came from. He asked the company's controller, Mary Donner, but the only part of the explanation he understood was that the overhead entries do not represent actual overhead costs.

 Required - Explain to Stan what the manufacturing overhead entries on the job cost sheet mean.