Sound of Thunder Company has a job costing system. The following items appeared in the Work-in-Process account during April 2016:
Sound of Thunder applies overhead to production on the basis of direct labor hours. Job XX, the only job in process on April 30, has been charged $10,600 materials cost and has 100 labor hours of direct labor time assigned to it.
Required:
a. Determine the predetermined factory overhead rate for Sound of Thunder Company.
b. Determine the amounts of materials, direct labor, and factory overhead included in the April 30, 2016, work in process.
c. Determine the amount of materials placed into production during April 2016.

Question

Sound of Thunder Company has a job costing system. The following items appeared in the Work-in-Process account during April 2016:
  Sound of Thunder applies overhead to production on the basis of direct labor hours. Job XX, the only job in process on April 30, has been charged $10,600 materials cost and has 100 labor hours of direct labor time assigned to it.
Required: 
a. Determine the predetermined factory overhead rate for Sound of Thunder Company.
b. Determine the amounts of materials, direct labor, and factory overhead included in the April 30, 2016, work in process.
c. Determine the amount of materials placed into production during April 2016.

Quizplus · Accepted Answer

The Answer of Sound of Thunder Company has a job costing system. The following items appeared in the Work-in-Process account during April 2016:
  Sound of Thunder applies overhead to production on the basis of direct labor hours. Job XX, the only job in process on April 30, has been charged $10,600 materials cost and has 100 labor hours of direct labor time assigned to it.
Required: 
a. Determine the predetermined factory overhead rate for Sound of Thunder Company.
b. Determine the amounts of materials, direct labor, and factory overhead included in the April 30, 2016, work in process.
c. Determine the amount of materials placed into production during April 2016.

Sound of Thunder Company Has a Job Costing System