Question

Mulligan Manufacturing Company uses a job order cost system with overhead applied to products at a rate of 150 percent of direct labor cost. Required: Treating each case independently, selected from the manufacturing data given below, find the missing amounts. You should do them in the order listed. (Hint: For the manufacturing costs in Case 3, first solve for conversion costs and then determine how much of that is direct labor and how much is manufacturing overhead.) (Do not round your intermediate calculations. Round your final answers to the nearest whole dollar. Enter all amounts as positive values.) Case 1 16,000 11,000 Case 2 4,750 Case 3 10,500 11,500 24,500 27,300 7,200 Direct material used Direct labor Manufacturing overhead applied Total current manufacturing costs Beginning work in process inventory Ending work in process inventory Cost of goods manufactured Beginning finished goods inventory Ending finished goods inventory Cost of goods sold 8,500 5,300 9,800 48,000 21,001 3,200 8,000 5,500 35,000 38,000

Answer 1

Calculate following

	Case 1	Case 2	Case 3
Direct material used	16000	4750	10500
Direct labor	11000	24500-11500-4750 = 8250	16800/2.5 = 6720
Manufacturing overhead applied	11000*1.5 = 16500	11500	6720*1.5 = 10080
Total current manufacturing cost	16000+11000+16500 = 43500	24500	27300
Beginning work in process inventory	8500	48000+9800-24500 = 33300	7200
Ending work in process inventory	5300	9800	27300+7200-21001 = 13499
Cost of goods manufactured	43500+8500-5300 = 46700	48000	21001
Beginning finished goods inventory	3200	10300	35000+5500-21001 = 19499
Ending finished goods inventory	8000	48000+10300-38000 = 20300	5500
Cost of goods sold	46700+3200-8000 = 41900	38000	35000