Predetermined overhead rate = $720,000/48,000 ($960,000/$20) = $15 per direct labor hour
1. Sales revenue = $181,000*120% = $217,200
2. November 30 balance in accounts receivable = Beginning balance+ sales - cash collections
November 30 balance in accounts receivable = $8,000+217,200-205,000 = $20,200
3. Cost of raw material purchased = Ending accounts payable balance+Cash payments-Beginning accounts payable balance
Cost of raw material purchased = $1,000+81,000-12,200 = $69,800
4. November 30 balance in work in process inventory = $20,600+500*$20+500*$15
November 30 balance in work in process inventory = $20,600+10,000+7,500 = $38,100
5. Direct labor added = Ending wages payable balance+payments made-Beginning wages payable balance
Direct labor added = $1,500+79,500-1,000 = $80,000
6. Applied overhead = Direct labor hours*Predetermined overhead rate
Applied overhead = ($80,000/$20) 4,000*$15 = $60,000
7. Cost of goods completed = Beginning work in process+Total manufacturing cost-Ending work in process
Total manufacturing cost = Direct material+Direct labor+Applied overhead
Total manufacturing cost = $40,000+80,000+60,000 = $180,000
Cost of goods completed = $8,000+180,000-38,100 = $149,900
8. Raw material used = $40,000
9. Oct 31 balance in raw material inventory = Raw material used+ending balance-raw material purchases
Oct 31 balance in raw material inventory = $40,000+45,000-69,800 = $15,200
10. Over or under applied overhead = Applied overhead - Actual overhead
Over or under applied overhead = $60,000 - 60,000 = $0
Raw material inventory | Accounts payable | ||||||
Bal.10/31 | $15,200 | $12,200 | Bal.10/31 | ||||
accounts payable | 69,800 | $40,000 | Work in procss | cash | $81,000 | 69,800 | raw material |
Bal.11/30 | $45,000 | $1,000 | Bal.11/30 | ||||
Work in process inventory | Finished goods inventory | ||||||
Bal.10/31 | $8,000 | Bal.10/31 | $35,000 | ||||
Direct material | 40,000 | $149,900 | Cost of goods completed | work in process | 149,900 | 181,000 | Cost of goods sold |
Direct labor | 80,000 | ||||||
Applied overhead | 60,000 | Bal.11/30 | 3,900 | ||||
Bal.11/30 | 38,100 | ||||||
Manufacturing overhead | Cost of goods sold | ||||||
Actual | $60,000 | $60,000 | Work in process | Finished goods | $181,000 | ||
Bal,11/30 | $0 | ||||||
Wages payable | Sales revenue | ||||||
$1,000 | Bal.10/31 | $217,200 | Accounts receivable | ||||
Cash | $79,500 | 80,000 | Work in process | ||||
$1,500 | Bal.11/30 | ||||||
Accounts receivable | |||||||
Bal.10/31 | $8,000 | ||||||
Sales | 217,200 | $205,000 | Cash | ||||
Bal.11/30 | $20,200 |
Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for...
Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw Material Inventory 40,000 Bal. 11/30 45,000 Accounts Payable 12,100 Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000 Manufacturing Overhead 60,000 Cost of Goods Sold Wages Payable 1,600 Bal 11/30 Sales Revenue Accounts Receivable Bal. 10/31 8,000 Upon examining...
Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw Material Inventory 40,000 Bal. 11/30 45,000 Accounts Payable 12,200 Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000 Manufacturing Overhead 60,000 Cost of Goods Sold Wages Payable 1,600 Bal 11/30 Sales Revenue Accounts Receivable Bal. 10/31 8,000 Upon examining...
Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw-Material Inventory 40, 80e Bal. 11/30 45,000 Accounts Payable 12, eee Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000 Manufacturing Overhead 60.ae Cost of Goods Sold Wages Payable 1,700 Bal 11/30 Sales Revenue Accounts Receivable Bal. 10/31 8,00 Upon...
1. 2. Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger Raw-Material Inventory 40,000 Bal. 11/30 45,000 Accounts Payable 12,000 Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000 Manufacturing Overhead 60,000 Cost of Goods Sold Wages Payable 1,500 Bal 11/30 Sales Revenue Accounts Receivable Bal. 10/31 8,000 Upon...
Conundrum, Inc. manufactures puzzles. Due to a fire in the administrative offices, the accounting records for September of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw-Material Inventory Accounts Payable 40,000 12,000 Bal. 8/31 Bal. 9/30 45,000 Work-in-Process Inventory Finished-Goods Inventory Bal. 8/31 8,000 Bal. 8/31 35,000 Manufacturing Overhead Cost of Goods Sold 60,000 Wages Payable Sales Revenue 1,700 Bal 9/30...
1.Required A - 2.Required B - Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw-Material Inventory 40,000 Bal. 11/30 45,000 Accounts Payable 12,200 Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000 Manufacturing Overhead 60,000 Cost of Goods Sold Wages Payable 1,600 Bal 11/30 Sales Revenue Accounts Receivable...
Can someone help me determine how to complete this question I am very confused ( the last photo is required part 2) Conundrum Corporation manufactures furniture. Due to a fire in the administrative offices, the accounting records for November of the current year were partially destroyed. You have been able to piece together the following information from the ledger. Raw-Material Inventory 40,000 Bal. 11/30 45,000 Accounts Payable 12,100 Bal. 10/31 Work-in-Process Inventory Bal. 10/31 8,000 Finished-Goods Inventory Bal. 10/31 35,000...
Reimel Furniture Company, Inc. incurred the following costs during 20x2. Direct material used $ 172,000 Direct labor 320,000 Manufacturing overhead 160,000 During 20x2, products costing $120,000 were finished, and products costing $132,000 were sold on account for $193,000. There were no purchases of raw material during the year. The beginning balances in the firm’s inventory accounts are as follows: Raw material $ 226,000 Work in process 14,000 Finished goods 30,000 Exercise 3-31 Part 1 Required: 1. Prepare T-accounts to show...
Required information The following information applies to the questions displayed below Reimel Furniture Company, Inc. incurred the following costs during 20x2. Direct material used Direct labor Manufacturing overhead $173,000 320,000 160,000 During 20x2, products costing $122,000 were finished, and products costing $132,000 were sold on account for $197,000. There were no purchases of raw material during the year. The beginning balances in the firm's inventory accounts are as follows: Raw material Work in process Finished goods $226,000 14,000 30,000 Required:...
Required information [The following information applies to the questions displayed below.] Reimel Furniture Company, Inc. incurred the following costs during 20x2. Direct material used Direct labor Manufacturing overhead $ 173,000 319,000 180,000 During 20x2, products costing $122,000 were finished, and products costing $132,000 were sold on account for $ 197,000. There were no purchases of raw material during the year. The beginning balances in the firm's inventory accounts are as follows: Raw material Work in process Finished goods $ 226,000...