Question

As consultants, we are hired to help the company track and report costs. The following Tableau Dashboard is provided to assist us in our analysis. Inventories Work in Process Raw Materials Finished Goods S21.000 S18,000 $15.000 $12.000 $9,000 56,000 $3,000 $0 November 30 December 31 November 30 December 31 November 30 December 31 Factory Overhead for December Sales, Materials, and Payroll for December Indirect materials Indirect labor Factory payroll Raw materials purchases Total Overhead $42,000 $ Sales o Other overhead costs Predetermined Overhead Rate Predetermined overhead rate based on direct labor cost 70% ** + ableau 1. Did finished goods inventory increase or decrease, and by what amount from November 30 to December 317 2. Did raw materials inventory increase or decrease, and by what amount, from November 30 to December 312 3. Compute cost of direct materials used. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 1. Did finished goods inventory increase or decrease, and by whal amount, from November 30 to December 31? 2. Did raw materials Inventory Increase or decrease, and by what amount, from November 30 to December 31? by 1. Finished goods Inventory 2. Raw materials inventory tay (Reg 1 and 2 Reg 3 >

REQ 1 and 2 are decreased/increase.

Answer 1

Req3 Cost of direct material used: Beginning raw material inventory Add Raw material purchase Less Ending raw material inventory Total raw material used Less Indirect material used Cost of Direct material used 10000 40000 - 12000 38000 -5000 33000

Req 1 and 2 Finished Goods inventory Raw material inventory Increase Increase by by 2500 2000 working Begining (30 November) Ending (31 december) Increase Raw material Finished goods 10000 7500 12000 10000 2000 2500