Please see below : Job Costing Elite Custom Cabinetry Company produces custom cabinets ordered to exact measure based on CAD drawings provided by…

Please see below :

 Job Costing   Elite Custom Cabinetry Company produces custom cabinets ordered to exact measure based on CAD drawings provided by kitchen remodeling firms.   As of June 1, there was one order in production (job 5-3), and two new jobs were started in June (jobs 6-1 and 6-2).   Job 5-3 had incurred costs as follows prior to the month of June: direct material, $4,600; direct labor, $6,550; overhead, $3,400.   There were no finished goods, because orders ship out upon completion. Raw material inventory was $18,600 as of June 1.   The following events occurred during June:      1.  Purchased additional raw materials of $20,000.      2.  Incurred direct labor hours of 640 hours at a rate of $24.00 during the month of June.      3.  Incurred total manufacturing overhead costs of $18,400 during the month of June.      4.  Assigned Direct materials and direct labor hours to jobs as follows:   Actual   Materials   Hours   Job 5-3                2,300                   112  Job 6-1                8,700                   320  Job 6-2                5,420                   208  Totals              16,420                   640     5.  The company uses direct labor hours to assign overhead to individual jobs, and the predetermined           overhead rate is $28.00 per hour, based on the budget of 600 labor hours per month.      6.  Job 5-3 and 6-1 are completed and shipped in the month of June. Job 6-2 is in progress at month end.   A.  Calculate the completed cost of jobs 5-3 and 6-1.   B.  Calculate the cost of work in process (job 6-2).   C.  Calculate over or under applied overhead for hours worked and rate per hour.   D.  Calculate the actual overhead rate per hour. 

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