Harper companys job 501 for the manufacture of 2200 coats, Accounting Basics

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Harper companys job 501 for the manufacture of 2200 coats

Question: Harper Company's Job 501 for the manufacture of 2,200 coats was completed during August at the unit costs presented as follows. Final inspection of Job 501 disclosed 200 spoiled coats, which were sold to a jobber for $6,000.

Direct materials	$20
Direct labor	18
Factory overhead (which includes an allowance of $1 for spoiled work)	18
	$56

Assume that the spoilage loss is attributable to the exacting specifications of Job 501 and is attributable to this specific job. What would be the unit costs of the good coats produced on Job 501?

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Accounting Basics: Harper companys job 501 for the manufacture of 2200 coats

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