Question

Required information Problem 15-1A Production costs computed and recorded; reports prepared LO C2, P1, P2, P3, P4 [The following information applies to the questions displayed below.] Marcelino Co.'s March 31 inventory of raw materials is $87,000. Raw materials purchases in April are $590,000, and factory payroll cost in April is $385,000. Overhead costs incurred in April are: indirect materials, $56,000; indirect labor, $28,000; factory rent, $31,000; factory utilities, $24,000; and factory equipment depreciation, $59,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $700,000 cash in April. Costs of the three jobs worked on in April follow. Job 306 Job 307 Job 308 $ 27,000 23,000 11,500 $ 38,000 18,000 9,000 Balances on March 31 Direct materials Direct labor Applied overhead Costs during April Direct materials Direct labor Applied overhead Status on April 30 132,000 102,000 220,000 154,000 $105,000 101,000 Finished Finished In process

Answer 1

solution: Job 306 Job 307 Job 308 april total 27,000 23,000 11,500 61,500 38,000 18,000 9,000 65,000 65,000 41,000 20,500 126,500 0 from march Direct materials Direct labor Applied overhead Beginning goods in process for April Direct materials Direct labor Applied overhead (50% of direct labor cost) total cost added in april total cost (april 30) Status on April 30 april 30 cost included in 132,000 220,000 105,000 457,000 102,000 154,000 101,000 357,000 51,000 77,000 50,500 178,500 285,000 451,000 256,500 992,500 346,500 516,000 256,500 1,119,000 Finished (sold) Finished (unsold) in process COGS FG WIP