Schuppert Inc. uses a job-order costing system in which any underapplied or overapplied overhead for the period is closed out to cost of goods sold. In May, the company completed job K44C that consisted of 19,000 units of one of the company's standard products. No other jobs were in process during the month. The job cost sheet for job K44C shows the following costs: During the month, the actual manufacturing overhead cost incurred was $257,070 and 4,000 completed units from job K44C were sold. No other products were sold.
Required:
Determine the cost of goods sold that would appear on the income statement for May. Show your work!

Question

Schuppert Inc. uses a job-order costing system in which any underapplied or overapplied overhead for the period is closed out to cost of goods sold. In May, the company completed job K44C that consisted of 19,000 units of one of the company's standard products. No other jobs were in process during the month. The job cost sheet for job K44C shows the following costs:  During the month, the actual manufacturing overhead cost incurred was $257,070 and 4,000 completed units from job K44C were sold. No other products were sold.
Required:
Determine the cost of goods sold that would appear on the income statement for May. Show your work!

Quizplus · Accepted Answer

The Answer of Schuppert Inc. uses a job-order costing system in which any underapplied or overapplied overhead for the period is closed out to cost of goods sold. In May, the company completed job K44C that consisted of 19,000 units of one of the company's standard products. No other jobs were in process during the month. The job cost sheet for job K44C shows the following costs:  During the month, the actual manufacturing overhead cost incurred was $257,070 and 4,000 completed units from job K44C were sold. No other products were sold.
Required:
Determine the cost of goods sold that would appear on the income statement for May. Show your work!