Question

Exercise 15-12 Partially correct answer.               Your answer is partially correct. Try again.               

Exercise 15-12

Partially correct answer.               Your answer is partially correct. Try again.

               

Don Lieberman and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data concerning the three audit jobs conducted during November.

Lynn

Brian

Mike

Direct materials                $610                       $470                       $280

Auditor labor costs                          $6,000                   $7,600                   $3,575

Auditor hours                    74                           91                           49

Overhead costs are applied to jobs on the basis of auditor hours, and the predetermined overhead rate is $55 per auditor hour. The Lynn job is the only incomplete job at the end of November. Actual overhead for the month was $13,800.

(a) Determine the cost of each job.

Cost

Lynn                      $Entry field with incorrect answer now contains modified data

3700

Brian                      $Entry field with incorrect answer

5005

Mike                      $Entry field with incorrect answer

2695

(b) Indicate the balance of the Service Contracts in Process account at the end of November.

Balance in service contracts in process account                   $Entry field with incorrect answer

13800

(c) Calculate the ending balance of the Operating Overhead account for November.

Balance in operating overhead account                  $Entry field with correct answer

2030

Click if you would like to Show Work for this question:   

Open Show Work

Can you show numbers you used for solution

Homework Answers

Answer #1

Solution a:

Computation of Job Cost
Particulars Lynn Brian Mike
Direct materials $610.00 $470.00 $280.00
Auditors labor cost $6,000.00 $7,600.00 $3,575.00
Applied overhead cost $4,070.00 $5,005.00 $2,695.00
Job Cost $10,680.00 $13,075.00 $6,550.00

Solution b:

Balance in service contracts in process account = Cost of Lynn job = $10,680

Solution c:

Balance in overhead account = Actual overhead incurred - Overhead applied = $13,800 - ($4,070 + $5,005 + $2,695) = $2,030 debit

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Exercise 20-12 Don Lieberman and Associates, a CPA firm, uses job order costing to capture the...
Exercise 20-12 Don Lieberman and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data concerning the three audit jobs conducted during November. Lynn Brian Mike Direct materials $600 $400 $200 Auditor labor costs $5,400 $6,600 $3,375 Auditor hours 72 88 45 Overhead costs are applied to jobs on the basis of auditor hours, and the predetermined overhead...
Determine cost of jobs and ending balance in work in process and overhead accounts. (LO 2,...
Determine cost of jobs and ending balance in work in process and overhead accounts. (LO 2, 3, 4), AP Don Lieberman and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data concerning the three audit jobs conducted during November. Lynn Brian Mike Direct materials $600 $400 $200 Auditor labor costs $5,400 $6,600 $3,375 Auditor hours 72 88...
Exercise 15-10 [Partially correct answer.] Your answer is partially correct. Try again. For a recent 2-year...
Exercise 15-10 [Partially correct answer.] Your answer is partially correct. Try again. For a recent 2-year period, the balance sheet of Buffalo Company showed the following stockholders’ equity data at December 31 (in millions). 2017 2016 Additional paid-in capital $ 960 $ 818 Common stock 669 663 Retained earnings 7,150 5,260 Treasury stock 1,900 900    Total stockholders’ equity $6,879 $5,841 Common stock shares issued 223 221 Common stock shares authorized 500 500 Treasury stock shares 38 25 (a) Answer the...
Kevin Hall and Associates, a CPA firm, uses job order costing to capture the costs of...
Kevin Hall and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data concerning the three audit jobs conducted during November. Waters Inc. Renolds Inc. Bayfield Inc. Direct materials $660 $510 $290 Auditor labor costs $5,900 $7,000 $3,675 Auditor hours 76 94 49 Overhead costs are applied to jobs on the basis of auditor hours, and the predetermined...
Exercise 14-6 Your answer is partially correct. Try again. Here are the comparative income statements of...
Exercise 14-6 Your answer is partially correct. Try again. Here are the comparative income statements of Delaney Corporation. Delaney Corporation Comparative Income Statements For the Years Ended December 31 2020 2019 Net sales $684,000 $566,000 Cost of goods sold 535,572 466,384 Gross profit 148,428 99,616 Operating expenses 94,392 53,204 Net income $ 54,036 $ 46,412 (a) Prepare a horizontal analysis of the income statement data for Delaney Corporation, using 2019 as a base. (Show the amounts of increase or decrease.)...
*Do It! Review 21-5 Your answer is partially correct. Try again. Zeller Company estimates that 2017...
*Do It! Review 21-5 Your answer is partially correct. Try again. Zeller Company estimates that 2017 sales will be $43,200 in quarter 1, $51,300 in quarter 2, and $63,000 in quarter 3. Cost of goods sold is 50% of sales. Management desires to have ending finished goods inventory equal to 12% of the next quarter’s expected cost of goods sold. Prepare a merchandise purchases budget by quarter for the first 6 months of 2017. ZELLER COMPANY Merchandise Purchases Budget [Entry...
Exercise 17-13 Partially correct answer. Your answer is partially correct. Try again. Coronado Co. invested $1,100,000...
Exercise 17-13 Partially correct answer. Your answer is partially correct. Try again. Coronado Co. invested $1,100,000 in Whispering Co. for 25% of its outstanding stock. Whispering Co. pays out 30% of net income in dividends each year. Use the information in the following T-account for the investment in Whispering to answer the following questions. Investment in Whispering Co. 1,100,000 108,000 32,400 (a) How much was Coronado Co.’s share of Whispering Co.’s net income for the year? Net income $ enter...
Brief Exercise 5-16 Your answer is partially correct. Try again. At the end of the year,...
Brief Exercise 5-16 Your answer is partially correct. Try again. At the end of the year, Whispering Winds Resorts Ltd., a company that has a periodic inventory system, had the following account balances on its unadjusted trial balance: Inventory $28,000, Purchases $260,000, Purchase Discounts $3,500, Freight In $6,500. The inventory count at the end of the year determined that the inventory on hand at that time cost $23,500. Record the adjusting journal entry that would be made at the end...
Exercise 9-4 Partially correct answer. Your answer is partially correct. Try again. Bridgeport Company began operations...
Exercise 9-4 Partially correct answer. Your answer is partially correct. Try again. Bridgeport Company began operations in 2017 and determined its ending inventory at cost and at LCNRV at December 31, 2017, and December 31, 2018. This information is presented below. Cost Net Realizable Value 12/31/17 $340,890 $315,290 12/31/18 439,200 417,500 (a) Prepare the journal entries required at December 31, 2017, and December 31, 2018, assuming inventory is recorded at LCNRV and a perpetual inventory system using the cost-of-goods-sold method....
Chapter 28, Problem 06 Partially correct answer. Your answer is partially correct. Try again. A spaceship...
Chapter 28, Problem 06 Partially correct answer. Your answer is partially correct. Try again. A spaceship travels at a constant speed from earth to a planet orbiting another star. When the spacecraft arrives, 15 years have elapsed on earth, and 7.9 years have elapsed on board the ship. How far away (in meters) is the planet, according to observers on earth? incorrect answer 1.0463e16
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT