Meenach Corporation Uses a Job-Order Costing System with a Single

question 241

Essay

Meenach Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours.The company based its predetermined overhead rate for the current year on 80,000 direct labor-hours,total fixed manufacturing overhead cost of $160,000,and a variable manufacturing overhead rate of $2.30 per direct labor-hour.Recently Job X387 was completed and required 120 direct labor-hours.
Required:
Calculate the amount of overhead applied to Job X387.

Comprehend the closing process and its impact on company financial statements.

Appreciate the necessity and execution of adjusting entries for accurate financial reporting.

Identify the concept and implications of the time period assumption in accounting.

Understand the principles guiding revenue recognition and expense matching for reliable financial statements.