Birk Co. uses a job order cost system. The following debits (credit) appeared in Birk's work in process account for the month of April 2005:
|
April
|
Description
|
Amount
|
|
1
|
Balance
|
$ 4,000
|
|
30
|
Direct materials
|
24,000
|
|
30
|
Direct manufacturing labor
|
16,000
|
|
30
|
Factory overhead
|
12,800
|
|
30
|
To finished goods
|
(48,000)
|
Birk applies overhead to production at a predetermined rate of 80% of direct manufacturing labor costs. Job No. 5, the only job still in process on April 30, 2005, has been charged with direct manufacturing labor of $2,000. What was the amount of direct materials charged to Job No. 5?
- $ 3,000
- $ 5,200
- $ 8,800
- $24,000