ACG 3073 help A Guide to career/Snaptutorial ACG 3073 help A Guide to career/Snaptutorial | Page 4

Costs of goods manufactured
$1,050
Beginning finished goods
$2,450
Ending finished goods
$3,400
What was the cost of direct material used during June?
Direct Labor vs. Indirect Labor
Jim Wilson is a typical manufacturing employee who commonly
works 40 hours
per week and is paid $14 per hour. During the last pay period, Jim
performed the
the following activities:
Assembling products
29.5 hours
Cleaning his work area
5.0 hours
Attending a workplace safety meeting
2.5 hours
Talking with a supervisor about football
1.0 hours
Giving a tour of the plant to schoolchildren
2.0 hours
Jim’s employer uses job costing to measure and track production
costs. The company is
very concerned with maintaining accurate cost data. Determine the
amount of labor costs
that should be allocated to direct labor and indirect labor as
manufacturing overhead.
Walter Meyer Productions had the following costs for March:
Purchases of direct materials
$30,000
Indirect Labor
$20,000
Ending direct materials inventory
$10,000
Beginning direct materials inventory
$0
Total manufacturing costs
$115,000