This accounting problem is solved step by step below, with detailed explanations to help you understand the method and arrive at the correct answer.
ScanSolve AI Answer
Here is the completed job card for Job XXX1: Step 1: Calculate the total direct material cost for Job XXX1. Total Material Cost = Opening Material + Current Month Material Total Material Cost = R25\,000 + R105\,000 = R130\,000 Step 2: Calculate the total direct labour cost for Job XXX1. Total Labour Cost = Opening Labour + Current Month Labour Total Labour Cost = R18\,000 + R85\,000 = R103\,000 Step 3: Calculate the total applied overheads for Job XXX1. The current month's applied overheads are R15.00 per unit for 6 000 units. Current Month Overheads = 6\,000 units × R15.00/unit = R90\,000 Total Applied Overheads = Opening Applied Overheads + Current Month Overheads Total Applied Overheads = R62\,500 + R90\,000 = R152\,500 Step 4: Calculate the total production cost for Job XXX1. Total Production Cost = Total Material Cost + Total Labour Cost + Total Applied Overheads Total Production Cost = R130\,000 + R103\,000 + R152\,500 = R385\,500 Step 5: Calculate the total cost of sales for Job XXX1. The selling and marketing cost for Job XXX1 is R0. Total Cost of Sales = Total Production Cost + Selling and Marketing Cost Total Cost of Sales = R385\,500 + R0 = R385\,500 Step 6: Calculate the sales revenue for Job XXX1. Job XXX1 produced 6 000 units and was invoiced at R65.00 per unit. Sales Revenue = Units Produced × Selling Price Per Unit Sales Revenue = 6\,000 units × R65.00/unit = R390\,000 Step 7: Calculate the profit for Job XXX1. Profit = Sales Revenue - Total Cost of Sales Profit = R390\,000 - R385\,500 = R4\,500 The completed job card for Job XXX1 is: |l|r| Job Card: Job XXX1 & Amount (R) \\ Direct Material: & \\ Opening Balance & 25\,000 \\ Current Month & 105\,000 \\ Total Direct Material & 130\,000 \\ Direct Labour: & \\ Opening Balance & 18\,000 \\ Current Month & 85\,000 \\ Total Direct Labour & 103\,000 \\ Applied Overheads: & \\ Opening Balance & 62\,500 \\ Current Month (6 000 units × R15.00) & 90\,000 \\ Total Applied Overheads & 152\,500 \\ Total Production Cost & 385\,500 \\ Selling and Marketing Cost & 0 \\ Total Cost of Sales & 385\,500 \\ Sales Revenue (6 000 units × R65.00) & 390\,000 \\ Profit & 4\,500 \\ The profit for Job XXX1 is R4\,500. Send me the next one 📸