Waterside Sports Equipment Company's work in process inventory on June 1 has a balance of $21,500 representing Job No.151.During June,$52,000 of direct materials were requisitioned for Job No.151 and $31,000 of direct labor cost was incurred on Job No.151.Manufacturing overhead is allocated at 120% of direct labor cost.Actual manufacturing overhead costs incurred in June amounted to $42,000.No new jobs were started during June.Job No.151 is completed on June 28.
-What is the total cost assigned to Job No.151?

Question

Waterside Sports Equipment Company's work in process inventory on June 1 has a balance of $21,500 representing Job No.151.During June,$52,000 of direct materials were requisitioned for Job No.151 and $31,000 of direct labor cost was incurred on Job No.151.Manufacturing overhead is allocated at 120% of direct labor cost.Actual manufacturing overhead costs incurred in June amounted to $42,000.No new jobs were started during June.Job No.151 is completed on June 28. 
-What is the total cost assigned to Job No.151?

Quizplus · Accepted Answer

The total cost assigned to Job No.151 is calculated as follows: Starting balance ($21,500) + Direct materials ($52,000) + Direct labor ($31,000) + Manufacturing overhead (120% of $31,000 = $37,200). Total = $21,500 + $52,000 + $31,000 + $37,200 = $141,700.

Waterside Sports Equipment Company's Work in Process Inventory on June