Ending work-in-process inventory


Under Ricky Co.'s job order costing system, manufacturing overhead is applied to work in process using a predetermined annual overhead rate. During January, Ricky's transactions included the following:

Direct materials issued to production $ 90,000
Indirect materials issued to production $ 8,000
Manufacturing overhead incurred $125,000
Manufacturing overhead applied $113,000
Direct labor costs $107,000

Ricky had neither beginning nor ending work-in-process inventory. What was the cost of jobs completed in January?

a. $302,000
b. $310,000
c. $322,000
d. $330,000

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Accounting Basics: Ending work-in-process inventory
Reference No:- TGS041608

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