On April 9,Job XX4 was completed.The job cost sheet showed a total of $4,000 in direct materials and $6,000 in direct labour at a rate of $20 per direct labour hour.Factory overhead is applied at $30 per direct labour hour.What would be the debit to finished goods inventory to record the completion of Job XX4?

Question

Quizplus · Accepted Answer

The total cost of Job XX4 includes direct materials ($4,000), direct labor ($6,000), and factory overhead. The direct labor hours are $6,000 / $20 = 300 hours. Factory overhead is $30 per hour, so 300 hours x $30 = $9,000. The total cost is $4,000 + $6,000 + $9,000 = $19,000.

On April 9,Job XX4 Was Completed