Cambridge Manufacturing Inc. uses the job order cost system of

accounting. The following information was taken from the company’s

books after all posting had been completed at the end of

May:

Jobs Completed Direct Materials Cost Direct Labor Cost Factory Overhead Unit Completed

1040 $3,600 $4,000 $1,600 400
1065 2,380 2,500 1,000 240
1120 1,800 1,700 680 200

a. Prepare the journal entries to charge the costs of materials,
labor, and factory overhead to Work in Process.
b. Compute the total production cost of each job.
c. Prepare the journal entry to transfer the cost of jobs completed
to Finished Goods.
d. Compute the unit cost of each job.
e. Compute the selling price per unit for each job, assuming a
mark-on percentage of 40%.