ACCOUNT-Calculate the plantwide overhead rate for Heurion Company

Overhead
Application and Job-Order Costing

Heurion
Company is a job-order costing firm that uses a plantwide overhead rate based
on direct labor hours. Estimated information for the year is as follows:

Overhead	$789,000
Direct labor hours	100,000

Heurion
worked on five jobs in July. Data are as follows:

	Job 741	Job 742	Job 743	Job 744	Job 745
Balance, July 1	$29,870	$55,215	$27,880	$0	$0
Direct materials	$25,500	$39,800	$14,450	$13,600	$8,420
Direct labor cost	$61,300	$48,500	$28,700	$24,500	$21,300
Direct labor hours	4,000	3,400	1,980	1,600	1,400

By July
31, Jobs 741 and 743 were completed and sold. The remaining jobs were in
process.

	Required:
1.	Calculate the plantwide overhead rate for Heurion Company. Round to the nearest cent.
2.	Prepare job-order cost sheets for each job showing all costs through July 31. Round all amounts to the nearest dollar.
3.	Calculate the balance in Work in Process on July 31.
4.	Calculate Cost of Goods Sold for July.

1.
Calculate the plantwide overhead rate for Heurion Company. Round to the nearest
cent.

The plantwide overhead rate is

per
DLH.

2. Prepare job-order cost sheets for
each job showing all costs through July 31. Refer to the list of Amount Descriptions
for the exact wording of text items within your job-order cost sheets. Round
all amounts to the nearest dollar.

Score: 84/124

Heurion Company

Job-Order Cost Sheets

For the Month of July

1		Job 741	Job 742	Job 743	Job 744	Job 745
2	Beginning balance	✔	✔	✔	✔	✔
3	✔	✔	✔	✔	✔	✔
4	✔	✔	✔	✔	✔	✔
5	✔
6	✔

3.
Calculate the balance in Work in Process on July 31.

Work in process balance on July 31 is

.

Points:

0 / 1

4.
Calculate Cost of Goods Sold for July.

Cost of Goods Sold for July is