Question

all these questions are connected if you can please help me

Problem 19-1A Production costs computed and recorded; reports prepared LO C2, P1, P2, P3, P4 [The following information applies to the questions displayed below) Marcelino Co.'s March 31 Inventory of raw materials is $81,000. Raw materials purchases in April are $530,000, and factory payroll cost in April is $380,000. Overhead costs incurred in Aprilare Indirect materials, $54,000, Indirect labor, $25,000, factory rent, $39,000; factory utilities, $22,000, and factory equipment depreciation, $58,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $690,000 cash in April. Costs of the three jobs worked on in April follow Job 386 Job 307 Job 38 $ 44,000 26,900 25,000 12,500 8,500 Balances on March 31 Direct materials Direct labor Applied overhead Costs during April Direct materials Direct labor Applied overhead Status on April 30 140,000 183, een 215,000 151,00 $100,000 101,600 Finished (sold) Finished (unsold) process

Answer 1

1.

	Job 306	Job 307	Job 308	April Total
From March
Direct Materials	26000	44000		70000
Direct Labor	25000	17000		42000
Applied overhead	12500	8500		21000
Beginning goods in process	63500	69500		133000
For April
Direct Materials	140000	215000	100000	455000
Direct Labor	103000	151000	101000	355000
Applied overhead	51500	75500	50500	177500
Total costs added in April	294500	441500	251500	987500
Total costs (April 30)	358000	511000	251500	1120500
Status on April 30	Finished (sold)	Finished (unsold)	In process
April 30 cost included in:	Cost of goods sold	Finished goods inventory	Work in process inventory

2.

Transaction	General Journal	Debit	Credit
a.	Raw Materials Inventory	530000
	Accounts Payable		530000
	(To record raw materials purchased on account)
b.	Work in process inventory	455000
	Raw Materials inventory		455000
	(To record direct materials used in production)
c.	Work in process inventory	355000
	Cash		355000
	(To record direct labor cost paid and assigned)
d.	Factory overhead	25000
	Cash		25000
	(To record indirect labor cost paid and assigned)
e.	Work in process inventory	177500
	Factory overhead		177500
	(To record overhead costs applied)
f(1).	Factory overhead	54000
	Raw Materials Inventory		54000
	(To record cost of indirect materials used)
f(2).	Factory overhead	22000
	Cash		22000
	(To record factory utilities paid)
f(3).	Factory overhead	58000
	Accumulated depreciation-factory equipment		58000
	(To record depreciation on factory equipment)
f(4).	Factory overhead	39000
	Cash		39000
	(To record factory rent paid)
g.	Finished goods inventory ($358000 + $511000)	869000
	Work in process inventory		869000
	(To record jobs 306 & 307 transferred to finished goods)
h.	Cost of goods sold	358000
	Finished goods inventory		358000
	(To record cost of sales of job 306)
i.	Cash	690000
	Sales revenue		690000
	(To record sale of job 306)
j.	Cost of goods sold	20500
	Factory overhead		20500
	(To record underapplied overheads assigned to cost of goods sold)

3.

MARCELINO COMPANY
Schedule of Cost of Goods Manufactured
For Month Ended April 30
Direct Materials	455000
Direct labor	355000
Factory overheads	177500
Total manufacturing costs	987500
Add: Beginning work in process inventory	133000
Total cost of work in process	1120500
Less: Ending work in process inventory	251500
Cost of goods manufactured $	869000

4.1 Gross Profit: $311,500

Gross profit = Sales - Cost of goods sold = $690000 - ($358000 + $20500) = $690000 - $378500 = $311500

4.2

Inventories
Raw materials (81000 + 530000 - 455000 - 54000)	102000
Work in process (Job 308)	251500
Finished goods (Job 307)	511000
Total inventories	864500