The Work in Process account for Chambers Company contained the following entries: Debit of $80,000 for direct raw materials
Debit of $120,000 for direct labor
Debit of $60,000 for manufacturing overhead
Ending balance,$84,000,associated with Job #2
The company uses a job-order costing system.Work was only performed on two jobs during the period.The beginning balance in Work in Process was zero.What was the cost of Job #1,which was started and completed during the period?
A) $180,000
B) $148,000
C) $132,000
D) $176,000

Question

Quizplus · Accepted Answer

The total debits to Work in Process are $260,000 ($80,000 + $120,000 + $60,000). With an ending balance of $84,000 for Job #2, the cost of Job #1 is $260,000 - $84,000 = $176,000.

The Work in Process Account for Chambers Company Contained the Following