Eb12.
lo 4.7a company has the following transactions during the week.

purchase of $3,000 raw materials inventory
assignment of $700 of raw materials inventory to job 7
payroll for 10 hours and $3,000 is assigned to job 7
factory depreciation of $1,750
overhead applied at the rate of $200 per hour

what is the cost assigned to job 7 at the end of the week?

The cost assigned to Job 7 at the end of the week is 5,700 dollars.

Explanation:

In job order costing the cost that is to be assign to a specific order is sum of actual direct material cost and actual labour cost require to perform that job. Factory overheads are also added to the job cost on the basis of allocation method (on basis of budgeted applied OH rate).

So Following costs will be assign to Job 7.

RAW materail = $ 700

Labor Cost     = $ 3000

Overhead      = $ 2000 (10* 20)

Total Cost    = $ 5700

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