Need overhead for the first one Need chart to finish being fillied in Need unadj
ID: 2406842 • Letter: N
Question
Need overhead for the first one Need chart to finish being fillied in Need unadjusted cost of goods sold Just need direct labor for last
Fle Edit View History Bookmarks Window Help 35xFri 12:28 Problem 3-14 (Gitano Products-pages 139&1 Help Save&Exit; Submit Check my Problem 3-14 Schedule of Cost of Goods Manufactured; Overhead Analysis [LO3-3, LO3-4) Gitano Products operates a job -order costing system and applies overhead cost to jobs on the basis of direct materials used in production(not on the basis of raw materials purchased) Its predetermined overhead rate was based on a cost formula that estimated $109,200 of manufacturing overhead for an estimated allocation base of $84,000 direct material dollars to be used in production. The company has provided the following data for the just completed year RertanencesBirect labor Teveteriais overhead coste 100,200 Progerty taxes Depreelation of equiprent 15,00 ,500 Rent, building O0D 17,000 in Proces Required: Prev 10, 11# Score answer> 3
Explanation / Answer
Requirement 2
Before the underapplied or overapplied overhead can be computed, we must determine the amount of direct materials used in production for the year.
Raw materials inventory, beginning .................... $ 30,000
Add, Purchases of raw materials......................... 131,000
Raw materials available ..................................... 161,000
Deduct: Raw materials inventory, ending ............ 17,000
Raw materials used in production ....................... $144,000
Actual manufacturing overhead costs:
Indirect labor ................................................. $100200
Property taxes................................................ 8900
Depreciation of equipment .............................. 18000
Maintenance .................................................. 15000
Insurance ...................................................... 10500
Rent, building ................................................ 38000
Total actual costs.............................................. 190600
Applied manufacturing overhead costs:
$144,000 × 130% .......................................... 187200
Underapplied overhead...................................... $ 3400
Required 3
Direct materials:
Raw materials inventory, beginning .............. $ 30,000
Add purchases of raw materials.................... 131,000
Total raw materials available........................ 161,000
Deduct raw materials inventory, ending ........ 17,000
Raw materials used in production .......................... $ 144,000
Direct labor................................................................... 80,000
Manufacturing overhead applied to work in
process......................................................................... 187200
Total manufacturing costs ......................................... 411200
Add: Work in process, beginning................................ 45,000
456200
Deduct: Work in process, ending ................................... 37,000
Cost of goods manufactured.................................... $419200
Required 4
Cost of goods sold:
Finished goods inventory, beginning ................. $ 73000
Add: Cost of goods manufactured..................... 419200
Goods available for sale................................... 492200
Deduct: Finished goods inventory, ending ......... 59000
Cost of goods sold........................................... $433200
Required 5
The amount of overhead cost in Work in Process was:
$8900 direct materials cost × 130% = $11570
The amount of direct labor cost in Work in Process is:
Total ending work in process.................................. $37000
Deduct: Direct materials.................... $8900
Manufacturing overhead.................. 11570 20470
Direct labor cost ................................ $ 16530
The completed schedule of costs in Work in Process was:
Direct materials ................................. $8900
Direct labor ....................................... 16530
Manufacturing overhead..................... 11570
Work in process inventory................... $37000
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