Predetermined Overhead Rate, Application of Overhead to Jobs, Job Cost, Unit Cost

On August 1, Cairle Company's work-in-process inventory have 3 jobs with given costs:

                                  Job 70                 Job 71           Job 72

Direct Materials              $1600                   $2000              $850

Direct Labor                     1900                    1300                900

Applied overhead              1425                      975                675

In August, 4 more jobs were began. Information on costs added to 7 jobs during month is as follows:

                              Job 70 Job 71    Job 72       Job 73   Job 74   Job 75   Job 76

Direct materials         $800      $1235    $3550     $5000    $300    $560      $80

Direct Labor              1000        1400     2200        1800     600    860         172

Before the end of August, Jobs 70, 72, 73, and 75 were completed. On August 31, Jobs 72 and 75 were sold.

i) Compute predetermined overhead rate based on direct labor cost.

ii) Compute ending balance for every job as of August 31.

iii) Compute the ending balance of Work in Process as of August 31.

iv) Compute the cost of goods sold for August.

v) Suppose that Cairle prices its jobs at cost plus 20%, compute Cairle's sales revenue for August.