Problem - During October, Johnson Company worked on the three jobs. Data relating to these three jobs follow

Job 42 job 43 job 44

Units in each order 110 200 165

Units sold -- 200 --

Materials requisitioned $560 $740 $1600

Direct labor hours 260 300 500

Direct labor cost $3120 $3600 $6000

Overhead is assigned on the basis of direct labor hours at a rate of $7 per direct labor hour. During October, jobs 42 and 43 were completed and transferred to finished goods inventory. Job 43 was sold by the end of the month. Job 44 was the only unfinished job at the end of the month.

1. Calculate the per unit cost of jobs 42 43.

2. Compute the ending balance in the work in process inventory account.

3. Prepare the journal entries reflecting the completion of jobs 42 and 43 and the sale of job 43. The selling price is 150 percent of cost.