Question

Score: 0 of 1 pt 9 of 10 (0 complete) HW Score: 0%, 0 of 10 pts E3-28A (similar to) LCDs For You produces screens for use in various smartphones. The company reports the following information at Deoember 31. LCDs For You began operations on January 31 earlier that same year (Click the icon to view additional information.) Read the recuirements Question Help i More Info Requirement 1. What is the cost of direct materials used? The cost of direct materials used is $ Work in Process Wages Finished Goods Raw Materials Payable Inventory 30,000 12,500 80,000 80,000 60,000 43,000 Inventory 3,500 43,000 126,500 114,000 57,000 33,500 20,000 41,000 Balance 0 i Requirements Print Done 1. What is the cost of direct materials used? 2. What is the cost of indirect materials used? 3. What is the cost of direct labor? 4. What is the cost of indirect labor? 5. What is the cost of goods manufactured? 6. What is the cost of goods sold (before adjusing for any under-or overallocated manufacturing overhead? 7. What is the actual manufacturing overhead? 8. How much manufacturing ovorhead was allocatod to jobs? 9. What is the predetermined manufacturing overhead rate as a percentage of direct labor cost? 10. Is manufacturing overhead underallocated or overa located? By how much? Print Done Enter any number in the edit fields and then click Check Answer.

Answer 1

Question 1:

The cost of direct materials used = $ 30,000

Explanation: The first debit in the T- account of Work in Process inventory is of direct materials used amounting to $ 30,000

Question 2:

The cost of indirect material used = $ 3,500

Explanation: The first debit in the T- account of Manufacturing overhead is of indirect materials used amounting to $ 3,500.

The total of direct and indirect materials = $ 30,000 + $ 3,500 = $ 33,500 matches with the credit in the Raw Materials inventory T-account of $ 33,500.

Question 3:

The cost of direct labor used = $ 60,000

Explanation: The second debit in the T- account of Work in Process inventory is of direct labor used amounting to $ 60,000

Question 4:

The cost of indirect labor used = $ 20,000

Explanation: The second debit in the T- account of Manufacturing overhead is of indirect labor used amounting to $ 20,000.

The total of direct and indirect labor = $ 60,000 + $ 20,000 = $ 80,000 matches with the credit in the Wages payable T-account of $ 80,000.

Question 5:

The cost of goods manufactured = $ 126,500

Explanation: The debit in the T-account of Finished goods inventory represents the cost of goods manufactured, which also matches with the credit in the Work in Process inventory account amounting to $ 126,500.