Question

Manufacturing cost data for Vaughn Company, which uses a job order cost system, are presented below. Indicate the missing amount for each letter. Assume that in all cases manufacturing overhead is applied on the basis of direct labor cost and the rate is the same. (Round overhead rate to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 5,275.) Case A Case B Case C Direct materials used % $92,100 $63.150 Direct labor 54,000 149,000 Manufacturing overhead applied 45,900 (d) Total manufacturing costs 155,550 213,000 Work in process 1/1/20 (b) 20,400 18.900 Total cost of work in process 209,900 Work in process 12/31/20 14,500 Cost of goods manufactured 194,200 226,800

Answer 1

	Manufacturing overhead rate	85%	=45900/54000
Case A:
a	Direct materials used	55650	=155550-54000-45900
b	Work in Process 1/1/20	54350	=209900-155550
c	Work in Process 12/31/20	15700	=209900-194200
Case B:
d	Manufacturing overhead applied	126650	=149000*85%
e	Total manufacturing costs	367750	=92100+149000+126650
f	Total cost of work in process	388150	=367750+20400
g	Cost of goods manufactured	373650	=388150-14500
Case C:
h	Direct labor	81000	=(213000-63150)/185%
i	Manufacturing overhead applied	68850	=81000*85%
j	Total cost of work in process	231900	=213000+18900
k	Work in Process 12/31/20	5100	=231900-226800