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Flower City Cartridges (FCC) manufactures replacement cartridges for desktop printers. FCC uses standard costs within a job order cost system. In June, FCC purchased 18 gallons of blue ink for $385.20 and produced the following four different cartridge jobs using the blue ink (and other inks, materials, and direct labor):
Jobs Blue Ink, Gallons used
CJ120 4.2
HP9X2 3.9
CN417 3.8
XRX776 4.4
All four labor jobs have a blue ink materials standard that calls for four gallons of blue ink per job. Blue ink has a standard cost of $20.00 per gallon. These were the only jobs calling for blue ink in June. There was no beginning blue ink inventory on June 1.
Required: prepare a table that indicates the financial disposition of the historical cost of the blue ink purchased in June. (That is, account for the $385.20 blue ink purchase)

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M928700

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