Please tell me how to write part B, please give me the correct answer, thanks. E
ID: 2341893 • Letter: P
Question
Please tell me how to write part B, please give me the correct answer, thanks.
Economic Activity On September 17h Pat began production on his first job. Throughout September, jobs were scheduled as fo Job # 1 Date Started 2 9/17/2018 9/19/2018 9/25/2018 Description 4,000 10-inch skillets for a national retailer 2,000 15-inch skillets for inventory (stock 1,000 20-inch griddles for a big box store Pat has decided to allocate manufacturing overhead on the basis of direct labor hours-(DLH). Estimated manufacturing overhead costs totaled $3,150,000 for the year and 36,000 DLH were estimated for the same time period. The twenty individuals that will work in the plant will all be paid the same rate: $35.00 per hourExplanation / Answer
Date Description Debit Credit 30100 9/17/18 Work-in-process inventory 4532 Raw materials inventory 4532 (Requisition of direct materais-Job 1) 9/19/18 Work-in-process inventory 5720 Raw materials inventory 5720 (Requisition of direct materais-Job 2) 9/25/18 Work-in-process inventory 3520 Raw materials inventory 3520 (Requisition of direct materais-Job 3) 9/28/18 Salaries and Wages expense 51100 Salaries and Wages payable 51100 (Labor cost incurred) 9/28/18 Work-in-process inventory 51100 Salaries and Wages expense 51100 (Direct labor cost recorded) 9/25/18 Work-in-process inventory 75250 Manufacturing overhead 75250 (Note:1) (Apply overhead to job 1) 9/27/18 Work-in-process inventory 39375 Manufacturing overhead 39375 (Note:1) (Apply overhead to job 2) 9/28/18 Work-in-process inventory 13125 Manufacturing overhead 13125 (Note:1) (Apply overhead to job 3) Notes: 1. computation of predetermined overhead rate and applicatiion of overhead: Predetermined overhead=Estimated manufacturing overhead/Estimated DLH=3150000/36000=$ 87.5 per DLH Applied overhead=DLH*87.5 Job OH applied Job 1 860*87.5 75250 Job 2 450*87.5 39375 Job 3 150*87.5 13125 127750