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Sagot :
Answer: Accounts Recievable 217,100
Explanation:
The following information can be gotten from the question:
Direct material cost = $72,000
Direct labor cost = $38,000
Predetermined rate = 150%
The manufacturing overhead appiled will be calculated as:
= $38,000 x 150%
= $38000 × 1.5
= $57,000
Therefore, the total cost incurred will be calculated as:
= $72,000 + $38,000 + $57,000
= $167,000
The total cost is being markup at 30% and this will be:
= $167,000 x 30%
= $167000 × 0.3
= $50,100
Therefore, the selling price will then be:
= $167,000 + $50,100
= $217,100
Therefore, the accounting needed to record the credit sale of job no. 831 will be:
Debit: Accounts receivable $217,100
Credit: Sales $217,100
The correct option is:
B. Accounts Recievable 217,100
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