During June, the company recorded this activity related to production of Fruta:

Question

During June, the company recorded this activity related to production of Fruta: The company produced 3,000 units during June. A total of 8,000 pounds of material were purchased at a cost of $46,000. There was no beginning inventory of materials; however, at the end of the month, 2,000 pounds of material remained in ending inventory. The company employs 10 persons to work on the production of Fruta. During June, they worked an average of 160 hours at an average rate of $12.50 per hour. Variable manufacturing overhead is assigned to Fruta on the basis of direct labor-hours. Variable manufacturing overhead costs during June totaled $3,600. The company's management is anxious to determine the efficiency of Fruta production activities.

Explanation / Answer

During June, the company recorded this activity related to production of Fruta:

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