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E2.12 (LO 2, 3, 4), AP Service Service Don Lieberman and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data concerning the three audit jobs worked on during November. Waters Inc. $600 $5,400 72 Renolds Inc. $400 $6,600 88 45 Overhead costs are applied to jobs on the basis of auditor hours, and the predetermined overhead rate is $50 per auditor hour. The Waters Inc. job is the only incomplete job at the end of November. Actual overhead for the month was $11,000. Instructions Bayfield Inc. $200 $3,375 Direct materials Auditor labor costs Auditor hours a. Determine the cost assigned to each job. b. Determine the balance of the Service Contracts in Process account at the end of November. c. Calculate the ending balance of the Operating Overhead account for November. Determine predetermined overhead rate, apply overhead, and determine whether balance is under- or overapplied.

Nowember. Actual overinad for the month was $11,000. Instructions a. Determiee the cost assigned to each job. b. Determine the balanee of the Service Contracts in Process account at the end of November. c. Calculate the ending balance of the Operatiag Overhead acrount for November. Determine predetermined overhead nate, apply overhead, and determine uthether baiance is under- or overupplied

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