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Dapper Corporation had only one job in process on May 1. The job had been charge

ID: 2462540 • Letter: D

Question

Dapper Corporation had only one job in process on May 1. The job had been charged with $1,300 of direct materials, $3,680 of direct labor, and $5,940 of manufacturing overhead cost. The company assigns overhead cost to jobs using the predetermined overhead rate of $19.80 per direct labor-hour.

During May, the following activity was recorded:

  

Work in process inventory on May 30 contains $2,728 of direct labor cost. Raw materials consist solely of items that are classified as direct materials.

Dapper Corporation had only one job in process on May 1. The job had been charged with $1,300 of direct materials, $3,680 of direct labor, and $5,940 of manufacturing overhead cost. The company assigns overhead cost to jobs using the predetermined overhead rate of $19.80 per direct labor-hour.

During May, the following activity was recorded:

Explanation / Answer

Balaance in raw material inventory=Beg balance+purchased during month-used in production

=177700+20300-35900=$2100