E15-3 A job order cost sheet for Rolen Company is shown below.
|Job No. 92||For 2,000 units|
|Date||Direct materials||Direct labor||Manufacturing Overhead|
|Beg. bal. Jan. 1||5,000||6,000||4,500|
|Cost of completed job|
|Unit cost ($45,100 ÷ 2,000)||$22.55|
(a) On the basis of the foregoing data answer the following questions.
(1) What was the balance in Work in Process Inventory on January 1 if this was the
Only unfinished job?
(2) If manufacturing overhead is applied on the basis of direct labor cost, what overhead
The rate was used in each year?
(b) Prepare summary entries at January 31 to record the current year’s transactions pertaining
To Job No. 92.