Job 731 Was Recently Completed A) $3,288
B) $5,094

question 8

Multiple Choice

Job 731 was recently completed.The following data have been recorded on its job cost sheet: The company applies manufacturing overhead on the basis of machine-hours.The predetermined overhead rate is $14 per machine-hour.The total cost that would be recorded on the job cost sheet for Job 731 would be:
$$\begin{array} { | l | r | l | } \hline \text { Direct materials } & \$ 2,391 & \\\hline \text { Direct labor-hours } & 69 & \text { labor-hours } \\\hline \text { Direct labor wage rate } & \$ 13 & \text { per labor-hour } \\\hline \text { Machine-hours } & 129 & \text { machine-hours } \\\hline\end{array}$$

• A) $3,288.
• B) $5,094.
• C) $4,254.
• D) $2,418.

---

Definitions:

Direct Labor-Hours

The total time workers spend on producing a product, directly correlating to the product itself.

Unit Product Cost

An expression of the total production cost (materials, labor, and overhead) divided by the number of units produced.

Traditional Costing Method

An accounting strategy that allocates overhead costs to products based on a predetermined rate, without considering the actual activities that incur costs.

Unit Product Cost

The calculated expense for producing a single unit, taking into account all costs of production from raw materials to finished goods.