Pages

Ads 468x60px

Job Order Cost Sheet of Toshiba Manufacturing Company

Job Order Cost Sheet. Toshiba Manufacturing Company produces special machines made to customer specifications. The following data pertain to Job Order No. 1106:
Customer: Markem Machine Shop                 Date started: 11/ 4/19—
Customer's Order No.: C696                         Date finished: 11/18 /IP
Dated: October 27                                         Total cost to manufacture: ?
Description: 18 drilling units                            Sales price: $20,425

                                      Week Ending 11 111                      Week Ending 11 118
Materials used, Dept. 1           $2,400                                      $1,300
Direct labor rate, Dept. 1     $4.10 per hour                        $4.10 per hour
Labor hours used, Dept.1            600                                         400
Direct labor rate, Dept. 2          $4.00 per hour                  $4.00 per hour
Labor hours used, Dept. 2             300                                    140
Machine hours, Dept. 2                 200                                     120
Applied FOH, Dept. 1 .     $2.00 per labor hour                    $2.00 per labor hour
Applied FOH, Dept. 2.   $1 .80 per machine hour          $1 .80 per machine hour

Marketing and administrative costs are charged to each order at a rate of 25% of the cost to manufacture.

Required: A suitable cost sheet showing the above data. Did the company make an adequate profit margin on this order ?