Question

ssignment 0 Required information The following information applies to the questions displayed below) The following data is provided for Garcon Company and Pepper Company $ Beginning finished goods inventory Beginning work in process inventory Beginning raw materials inventory (direct materials) Rental cost on factory equipment Direct labor Ending finished goods inventory Ending work in process inventory Ending raw materials inventory Factory utilities Factory supplies used (indirect materials) General and administrative expenses Indirect labor Repairs-Factory equipment Raw materials purchases Selling expenses Sales Cash Factory equipment, net Accounts receivable, net Garcon Company $ 13,800 16,480 8,480 32,eee 21,200 19,400 25,900 7,900 11,850 10,600 21,500 1,8ee 5,180 33,5ee 62,800 211,530 29,000 262,500 15,600 Pepper Company 19,300 20,400 14,850 26,200 39,000 15,600 21,800 10,000 18,000 4,000 46,000 9,940 3,200 54,000 58,600 342,510 19,700 133,825 20,450 Required: 1. Compute the total prime costs for both Garcon Company and Pepper Company 2. Compute the total conversion costs for both Garcon Company and Pepper Company Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the total prime costs for both Garcon Company and Pepper Company. Garcon Company Pepper Company Direct materials < Prev Search

Answer 1

Solution

	Garcon Company	Pepper Company
Direct Material
Beginning raw material Inventory	$       8,400.00	$        14,850.00
Add: Raw material Purchases	$     22,900.00	$        50,000.00
Raw material Available for use	$     31,300.00	$        64,850.00
Less: Ending Raw material Inventory	$       7,900.00	$        10,000.00
Material Used in Production	$     23,400.00	$        54,850.00
Direct labor	$     21,200.00	$        39,000.00
Prime cost	$     44,600.00	$        93,850.00

.

	Garcon Company	Pepper Company
Direct labor	$     21,200.00	$        39,000.00
Factory overhead
Rental cost of Factory Equipment	$     32,000.00	$        26,200.00
Factory Utilities	$     11,850.00	$        18,000.00
Factory Supplies Used	$     10,600.00	$          4,000.00
Indirect Labor	$       1,800.00	$          9,940.00
Repairs-Factory Equipments	$       5,180.00	$          3,200.00
Total Factory Overheads	$     61,430.00	$        61,340.00
Total conversion costs	82,630.00	1,00,340.00