2024 – P2 3A Stellar Inc is a construction company specializing in custom patios The

P2-3A Stellar Inc. is a construction company specializing in custom patios. The patios are constructed of concrete, brick, fiberglass, and lumber, depending upon customer preference. On June 1, 2014, the general ledger for Stellar Inc. contains the following data.

 

	Customer Job
Cost Element	Gannon		Rosenthal		Linton
Direct materials	$600		$800		$900
Direct labor	320		540		580
Manufacturing overhead	400		675		725
	$1,320		$2,015		$2,205

 

A summary of materials requisition slips and time tickets for June shows the following.

Customer Job	Materials Requisition Slips		Time Tickets
Gannon	$800		$450
Koss	2,000		800
Rosenthal	500		360
Linton	1,300		1,200
Gannon	300		390
	4,900		3,200
General use	1,500		1,200
	$6,400		$4,400

Overhead was assigend to jobs at the same rate of $1.25 per dollar of direct labor cost. The patios for customers Gannon, Rosenthal, and Linton were completed during June and sold for a total of$18,900 Each customer paid in full.

Instructions:

(b) Post the entries to Work in Process Inventory.
(c) Reconcile the balance in Work in Process Inventory with the costs of unfinished goods.
(d) Prepare a cost of goods manufactured schedule for June.