Ceniceros Inc

question 24

Essay

Ceniceros Inc. uses a job-order costing system in which any underapplied or overapplied overhead for the period is closed out to cost of goods sold. In October, the company completed job Z53N that consisted of 20,000 units of one of the company's standard products. No other jobs were in process during the month. The job cost sheet for job Z53N shows that the total cost for the job was $1,232,000. During the month, the actual manufacturing overhead cost incurred was $346,800 and the manufacturing overhead cost applied to job Z53N was $322,000. And during the month, 15,000 completed units from job Z53N were sold. No other products were sold.
Required:
Determine the cost of goods sold that would appear on the income statement for October. Show your work!

---

Definitions:

Environmental Conditions

The external factors and surroundings that can influence the life, growth, behavior, and survival of organisms or systems.

Own Behavior

Refers to an individual's actions or conduct that they are personally responsible for or in control of.

Sense of Purpose

The motivation that drives individuals or groups to achieve goals and objectives, providing direction and meaning to actions or projects.

Self-interest

Acting in a way that is beneficial to oneself, often without regard for others.