Question

Solve and show your solution

46 28. The Arlyn duction is The follow at a predetermined rate of 80% based on direct labor costs ng accounts appear in the general ledger of the company n Company uses job order costing. Overhead applied to pro- e followin for the month of April 2018 Debits Work in process, April 1 Direct Materials Direct Labor Factory overhead P 60,000 120,000 100,000 80,000 On April 30, 2018 finished goods completed from work in process cost P320,000. Job No. 30 was the only job not completed in April and had been charged P9,200 for factory overhead The cost of Job No. 30 at April 30 was a. P27,360 b.29,200 c.50,000 d. 40,000

Answer 1

A	B	C	D	E	F	G	H	I	J	K	L
2
3		Since only job 30 is in work in process inventory, therefore the ending balance of work in process will be the cost of job 30.
4		T-account of work in process inventory will be as follows:
5		Work in process Inventory
6		Beginning Balance	$60,000	$320,000	Finished Goods
7		Direct Materials	$120,000
8		Direct Labor	$100,000
9		Applied Overhead	$80,000
10		Ending Balance	$40,000
11
12		Hence the cost of job 30 is	$40,000
13		Thus the option (d) is correct.
14