Juanita corporation uses a job-order costing system and applies overhead on the basis of direct labor cost. at the end of october, juanita had one job still in process. the job cost sheet for this job contained the following information: direct materials $ 480 direct labor $ 150 manufacturing overhead applied $ 600 an additional $100 of labor was needed in november to complete this job. for this job, how much should juanita have transferred to finished goods inventory in november when it was completed?

Total Cost of the Job    $

Direct materials             480

Direct labour                  150

Additional labour           100

Applied overhead          600

Total cost                        1,330

The total amount to be transferred to finished goods inventory in November is $1,330.                                

Explanation:

The total cost of the job  is the total of direct material, direct labour, additional labour and manufacturing overhead applied. The additional labour cost is considered because it is required to complete the job.

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