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Shidler College Of Business Operations And Supply Chain Management Assignment Help - ABC Company


Question - ABC Company uses job-order costing. It incurred the following costs for job M301: 20 pounds of raw
materials (all direct) were issued to be used for job M301 at a cost of $7 per pound. Three people
were assigned to work on Job M301 at a rate of $12 per hour. Records show that a total of 25 direct
labor-hours were worked on Job M301. Manufacturing overhead is applied based on direct labor-
hours. At the beginning of the year, estimated total manufacturing overhead was $450,000 and the
total direct laborhours incurred would be 50,000.
Required: Determine the cost assigned to Job M301.

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