80.2K

Verified Solution

Link Copied!

Assignment Question(s) (Allotted Marks: 15/15) Question 1.a). Discuss on what is job costing, its features advantages and disadvantages in relation to a business of your choice. Describe the procedure for recording and computing costs under job costing. Develop a pro-forma cost sheet for it. Question i .b) Mesi manufacturing company manufactures engines that are made only on customer's orders and their specifications. During January, the company worked on jobs 2525,2526,2527,2528. The following figures summarise the cost records for the month: Job 2525 Job 2526 Job2527 Jeb 2528 (200 units) (120 units)(50 Units) (200 units) Direct material put into process July 2: 30,000 10,000 18 40,000 32,000 10,000 22: 30,000 2.000 20.000 12.000 28; 7,000 4000 Direct Labour Costweek ending) July 2: 2,000 2.000 9. 54,000 18.000 16: 64,000 54.000 23: 40,000 6,000 10.000 1000 30; 36.000 23,000 Factory overhead: 120,000 64,000 35,000 21.000 Engines Completed 100 60 25 Jobs 2525 and 2526 have been completed and delivered to the customers at a total selling price of OMR852,000,on account. Job 2527 is finished but has not yet been delivered. Job 2528 is still in process. There was no work in progress at the beginning of the month. Required: 1. Prepare the summary journal entries for the month to record the distribution of materials, labour and overhead costs. 2. Prepare a summary showing the total cost of each job completed during the month or in process at the end of the month. Also. Determine the cost of inventories of completed engines and engines in process at the end of the month. 3. Prepare the journal entries to record the completion of the jobs and the sale of the jobs. 4. Prepare a statement of cost of goods manufactured

Answer & Explanation Solved by verified expert

See Answer