Ford Manufacturing cost estimates for the year 2024: Direct labor $350,000 (based on 14,000 direct labor hours at $25 per hour) Factory supervisor salaries 220,000 Administrative salaries 180,000 Rent for manufacturing facility 39,900 Rent for office building 12,000 Advertising expenses 20,000 Depreciation - office 4,000 Depreciation - factory equipment 18,000 Inventory records as of August 31, 2024 have been provided. (You will be completing information for September on these pages). There were no jobs in process as of August 31, 2024. There was no beginning finished goods inventory on August 31, 2024. Ford uses the first-in, first-out inventory method for recording raw material inventory. During the month of September, the purchases of raw materials were September 4: 500 pounds of R19 at $2 per pound. September 10: 1000 feet of material L17 at $5.60 per foot. September 18: 400 pounds of R19 at $2.40 per pound. September 22: 700 pounds of R19 at $2.70 per pound. September 25: 1000 feet of material L17 at $6.00 per foot. Complete the material requisition forms for the following use of inventory: September 2: Job 450, 420 pounds of R19 and 700 feet of L17 (Use M56) September 20: Job 451, 350 pounds of R19 and 600 feet of L17 (Use M57) September 24: Job 452, 900 pounds of R19 and 590 feet of L17 (Use M58) Job 450 was finished on September 19th and delivered to customer for sales price $18,000 Job 451 was finished on September 28th and delivered to customer for sales price $15,000 Job 452 was still in process as of September 30, 2024. September was a relatively slow month as demand for the Ford Manufacturing product is off season. Peak season is January - July. Ford maintains only three factory employees during the off season who work on a part-time basis as needed. Labor records are provided daily. When entering labor hours on the job cost sheets, you can enter the necessary information by date. Ford Manufacturing applies overhead to jobs on the basis of direct labor hours. Other actual costs
