Question

i am getting incompmeted work message?! i am not sure what am i doing wrong

Required information Use the following information to answer questions The following information applies to the questions displayed below. The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system April 30 May 31 $ $37.000 9, 200 69,000 43,000 18,000 34,900 Inventories Raw materials Work in process Finished goods Activities and Information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 174,000 150,000 13,000 34,500 113,500 1,200,000 55% Exercise 15-7 Cost flows in a job order costing system LO P1, P2, P3, P4 Compute the following amounts for the month of May using T-accounts. 1. Cost of direct materials used. 2. Cost of direct labor used 3. Cost of goods manufactured. 4. Cost of goods sold 5. Gross profit 6. Overapplied or underapplied overhead "Do not consider any underapplied or overapplied overhead

Answer 1

Solution:

Raw materials (RM)
Particulars	Debit	Credit	Particulars
Beginning Balance, Apr 30	$37,000.00	$13,000.00	Indirect materials
RM Purchases	$174,000.00	$155,000.00	Direct materials
		$43,000.00	Ending Balance, May 31
Total	$211,000.00	$211,000.00	Total

Work In Process (WIP)
Particulars	Debit	Credit	Particulars
Beginning Balance, Apr 30	$9,200.00	$325,225.00	Cost of goods manufactured
Direct material	$155,000.00	$18,000.00	Ending Balance, May 31
Direct labor	$115,500.00
Overhead applied (55% of DL Cost)	$63,525.00
Total	$343,225.00	$343,225.00	Total

Finished Goods
Particulars	Debit	Credit	Particulars
Beginning Balance, Apr 30	$69,000.00	$359,325.00	Cost of goods sold
Cost of goods manufactured	$325,225.00	$34,900.00	Ending Balance, May 31
Total	$394,225.00	$394,225.00	Total

Factory Overhead
Particulars	Debit	Credit	Particulars
Indirect materials	$13,000.00	$63,525.00	Overhead applied
Indirect labor	$34,500.00	$97,475.00	Underapplied overhead
Other overheads	$113,500.00
Total	$161,000.00	$161,000.00	Total

Income Statement (Partial)
Sales	$1,200,000.00
Cost of goods sold	$359,325.00
Gross Profit	$840,675.00

1. Direct materials used = $155,000

2. Direct labor = $115,500

3. Cost of goods manufactured = $325,225

4. Cost of goods sold = $359,325

5. Gross profit = $840,675

6. Under applied overhead = $97,475