Question

Please help. Exam tomorrow, just a review.

Blurry #s on info:

a.102

b. 96

c. 100

d. 40

e. 27

Everything else seems viisible?

Please help me out! Show all work necessary. No excel work please, thank you!

system to account for jobs i produces and closes out any Over- or under-applied manufacturing overhead ods Sold at the end of each quarter. Beginning balances from the Balance Sheet on January I are shown in the w. The table uses the following abbreviations: es aconal cost cctly no cost of Goods s able below. The table use RM - Raw Materials Inventory A/P - Accounts Payable WIP - Work in Process Inventory R/E-Retained Earning FG = Finished Goods Inventory Beg - Beginning Baliuas MOH - Manufacturing Overhead End - Ending Balance PP&E = Property, Plant & Equipment A summary of transactions completed in the quarter are shown below in $1,000's: a Raw materials purchased on account Raw materials used in production (75% were direct; the remainder indirect C Salaries & wages paid in cash (70% direct; 20% indirect; 10% selling & Depreciation on PP&E (90% manufacturing the remainder selling & admin) e. Factory utility expenses paid on account f. Advertising expenses paid in cash 8. Manufacturing overhead applied to production h. Cost of goods manufactured i. Cash sales to customers j. Cost of goods sold (unadjusted) k. Underapplied or overapplied overhead closed entirely to Cost of Goods Sold 16 102 254 324 250 To answer the following two questions, enter the numbers relevant for cach calculation into the table below using positive numbers to designate increases to an account balance and negative numbers to designate decreases. If the numbers are not entered, you will not receive credit even if you choose the correct answers. Direct? Indirect? Cash RM TWIP FG MOH PP&E = AP R/E 4312$ 16190 15023 S 217 102 T L doo ALCIO End 30 19 The ending balance of Work in Process Inventory (WIP) on March 31 was: A. $ B. $ 26 10 CH3. E None of the above. " CH3. 20 Closing out MOH (transaction k in the table) had the following impact on R/E: A. $39 increase to the balance. B. No impact to the balance. 5 $5 increase to the balance. $5 decrease to the balance. E. None of the above. (D) SS de Page 13 of 13

Answer 1

	Cash	RM	WIP	FG	MOH	PP&E	A/P	R/E
Beg	43	12	16	19	0	150	23	217
a		102					102
b		-96	72		24
c	-100		70		20			-10
d					36	-40		-4
e					27		27
f	-16							-16
g			102		-102
h			-254	254
i	324							324
j				-250				-250
k					-5			-5
End	251	18	6	23	0	110	152	256

19.
Ending Balance in WIP = Beginning Balance + Direct Material + Direct Labor + Direct Material + manufacturing overhead applied - COst of goods manufactured
=16+72+70+102-254 = 6

20.
Under applied overhead = Actual Overhead - Overhead Applied
= 24+30+36+27-102 = 5
Since overhead is under applied, cost of goods sold will be debited that will decrease income, hence decrease in retained earnings. Answer is D. $5 decrease to the balance