Shen Company incurred costs for jobs in process during the month of May. Overhead is applied at a rate of 120% of direct materials costs. Job 4 was completed during the month, while Job 5 remained in process at month-end.
Measures of Dispersion and Variability: Range, QD, AD and SD
Shen Company reports the costs incurred below for the month ended May.docx
1. Shen Company reports the costs incurred below for the month ended May 31 . The company has
no beginning Work in Process Inventory. Overhead is applied using a predetermined overhead
rate of 120% of direct materials costs. Job 4 was completed and Job 5 is still in process at month-
end. Prepare a schedule of cost of goods manufactured for the month.