Question

A job order cost sheet for Ryan Company is shown below. Job No. 92 For 2,000 Units Direct Materials Direct Labor Manufacturing Overhead Date Beg. bal. Jan. 1 5,100 7,000 4.900 7,000 8,000 6,000 2,800 5,000 3,750 14,900 20,000 14,650 Cost of completed job: Direct materials $14,900 Direct labor 20,000 Manufacturing overhead 14,650 Total cost $49,550 Unit cost ($49,550 = 2,000) $24.78 (a) On the basis of the foregoing data, answer the following questions.

Answer 1

1
Balance in Work in Process on January 1	17000	=5100+7000+4900
2
Overhead rate:
Last year	70%	=4900/7000
Current year	75%	=6000/8000
b
Account Titles and Explanation	Debit	Credit
Work in process inventory	9800		=7000+2800
Raw materials inventory		9800
(To record raw materials used)
Work in process inventory	13000		=8000+5000
Factory labor		13000
(To record factory labor used)
Work in process inventory	9750		=6000+3750
Manufacturing overhead		9750
(To record manufacturing overhead)
Finished goods inventory	49550
Work in process inventory		49550
(To record job completed)