Kilo Company Has a Job-Costing System A Determine the Predetermined Factory Overhead Rate for Kilo Company

question 165

Essay

Kilo Company has a job-costing system.The following items appeared in the work-in-process account during January of the current year:
Kilo applies overhead to production on the basis of direct labour hours.Job XX,the only job in process on January 30,has been charged $10,600 materials cost and has 100 labour hours of direct labour time assigned to it.
Required:
$\begin{array}{lr}\text { January } 1 \text { bal ance } & \$ 20,000 \\\text { Materials placed into production } & ? \\\text { Direct labour (4,000 hours) } & \$ 120,000\\\text { Factory overhead applied } & \$ 96,000 \\\text { Cost of goods manufactured } & \$ 400,000 \\\text { January 30 balance } & \$ 16,000\end{array}$ A. Determine the predetermined factory overhead rate for Kilo Company.
B. Determine the amounts of materials, direct 1 abour, and factory overhead included in the January 30 work in process.
C. Determine the amount of materials placed into production during January.

---

Definitions:

Gene Expression

The process by which the instructions in our DNA are converted into a functional product, such as a protein.

Brain Development

The process of growth and change in the brain's structure and function over the course of a life span, significantly occurring in childhood.

Synaptic Growth

The process by which neurons form new synaptic connections, enhancing the communication pathways in the brain.

Visual Cortex

The part of the cerebral cortex that processes visual information, located in the occipital lobe.