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12 January, 21:28

A company assigns overhead cost to completed jobs on the basis of 115% of direct labor cost. The job cost sheet for Job 413 shows that $23,085 in direct materials has been used on the job and that $10,100 in direct labor cost has been incurred. A total of 1,400 units were produced in Job 413. Required: a. What is the total manufacturing cost assigned to Job 413? b. What is the unit product cost for Job 413?

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  1. 12 January, 21:47
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    Instructions are listed below.

    Explanation:

    Giving the following information:

    A company assigns overhead costs to completed jobs based on 115% of direct labor cost.

    Job 413:

    Direct materials = $23,085

    Direct labor = $10,100

    A total of 1,400 units were produced in Job 413.

    A) To calculate the total cost of Job 413, we need to use the following formula:

    Total cost = total direct material + total direct labor + total overhead

    TC = 23,085 + 10,100 + (10,100*1.15) = $44,800

    B) The unitary cost is calculated by the division of the total cost on the number of units:

    Unitary cost = total cost/Q = 44,800/1,400 = $32
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