accountant were able to recover a small part of manufacturing cost data for the current and prior month. They need records in order to file an insurance claim. This is the data they were able to recover: Direct Labor Cost S250,000 Purchase of Raw Materials $365,000 Raw Materials used for the month $350,000 Sales for the month $1,240,000 Gross Profit Ratio 40% of sales Cost of goods available for sale $770,000 Manufacturing overhead was 60% of direct labor Inventories at the end of the prior month: Finished Goods $38,000; Work in Process $25,000; and Raw Materials $19,000. Instructions: Calculate the amount of cost in the Raw Materials, Work in Process, and Finished Goods Inventory (in other words, the ending balance in these accounts) for the current month (when the tornado took place) using the information above. What analysis or conclusions can you make from the data? Can the data be used to prepare complete financial statements? If your answer is yes, which complete financial statement (s) can be completed with this data? (You must know the information that is included on each financial statement to answer this question) Will this be helpful for the insurance company to process a claim?

accountant were able to recover a small part of manufacturing cost data for the current and prior month. They need records in order to file an insurance claim. This is the data they were able to recover: Direct Labor Cost S250,000 Purchase of Raw Materials $365,000 Raw Materials used for the month $350,000 Sales for the month $1,240,000 Gross Profit Ratio 40% of sales Cost of goods available for sale $770,000 Manufacturing overhead was 60% of direct labor Inventories at the end of the prior month: Finished Goods $38,000; Work in Process $25,000; and Raw Materials $19,000. Instructions: Calculate the amount of cost in the Raw Materials, Work in Process, and Finished Goods Inventory (in other words, the ending balance in these accounts) for the current month (when the tornado took place) using the information above. What analysis or conclusions can you make from the data? Can the data be used to prepare complete financial statements? If your answer is yes, which complete financial statement (s) can be completed with this data? (You must know the information that is included on each financial statement to answer this question) Will this be helpful for the insurance company to process a claim?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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During the year, a manufacturing company had the following operating results: Beginning work-in-process inventory $ 45,000 Beginning finished goods inventory $ 190,000 Direct materials used in production $ 308,000 Direct labor $ 475,000 Manufacturing overhead incurred $ 250,000 Ending work-in-process inventory $ 67,000 Ending finished goods inventory $ 89,000 What is the cost of goods manufactured for the year? $1,112,000 $1,033,000 $1,011,000 $1,134,000
Cavy Company estimates that total factory overhead costs will be $1,011,028 for the year. Direct labor hours are estimated to be 100,700. a. Determine the predetermined factory overhead rate. Round your answer to the nearest cent.$fill in the blank 8b99eb02a009f9f_1 b. Determine the amount of factory overhead applied to Job 567 if the amount of direct labor hours is 1,200 and Job 999 if the amount of direct labor hours is 2,800. Job 567 $fill in the blank 8b99eb02a009f9f_2 Job 999 $fill in the blank 8b99eb02a009f9f_3 c. Prepare the journal entry to apply factory overhead for April according to the predetermined overhead rate. fill in the blank aa9138f9703b038_2 fill in the blank aa9138f9703b038_4
As newly appointed Cost Accountant, you find that the selling price of Job No. 1234 has been calculated on the following basis : Materials Direct Wages-22 hours at 25 paise per hour (Department A–10 hours, B-–4 hours, C-8 hours) $ 12.08 5.50 17.58 Plus 33% on Prime Cost 5.86 23.44 An analysis of the previous year's profit and loss account shows the following : $ $ 77,500 Factory Overheads : A Materials used Direct Wages : 2,500 4,000 1,000 30,000 You are required to (a) draw up a job cost sheet ; (6) calculate and enter the revised costs using the previous year's figures as a basis ; (c) add to the total job cost 10% for profit and give the final 5,000 6,000 4,000 Selling Costs A B В C selling price.
Hamilton Company applies manufacturing overhead costs to products based on direct labor hours. The company estimates manufacturing overhead cost for the year to be $262,000 and direct labor hours to be 20,000. Actual overhead for the year was $290,000. Required: 1. Compute the predetermined overhead rate. 2. If the company actually used 23,200 direct labor hours, how much manufacturing overhead is applied to their job? Complete this question by entering your answers in the tabs below. Required 1 Required 2 If the company actually used 23,200 direct labor hours, how much manufacturing overhead is applied to their job? Applied Manufacturing Overhead 89 SEP 17 Next > A O
Primare Corporation has provided the following data concerning last month’s manufacturing operations. Purchases of raw materials $ 30,000 Indirect materials used in production $ 5,000 Direct labor $ 58,000 Manufacturing overhead applied to work in process $ 87,000 Underapplied overhead $ 4,000 Inventories Beginning Ending Raw materials $ 12,000 $ 18,000 Work in process $ 56,000 $ 65,000 Finished goods $ 35,000 $ 42,000 Required: 1. Prepare a schedule of cost of goods manufactured for the month (see picture below for reference). 2. Prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.
Primare Corporation has provided the following data concerning last month’s manufacturing operations. Purchases of raw materials $ 30,000 Indirect materials used in production $ 5,000 Direct labor $ 58,000 Manufacturing overhead applied to work in process $ 87,000 Underapplied overhead $ 4,000 Inventories Beginning Ending Raw materials $ 12,000 $ 18,000 Work in process $ 56,000 $ 65,000 Finished goods $ 35,000 $ 42,000 Can you please help me to do the following: Prepare a schedule of cost of goods manufactured for the month as well as prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.
Primare Corporation provided the following data for last month's manufacturing operations. Purchases of raw materials $ 30,000 Indirect materials used in production $ 4,510 Direct labor $ 59, 200 Manufacturing overhead applied to work in process $ 88, 200 Underapplied overhead $ 4, 020 Inventories Beginning Ending Raw materials $ 11,000 $ 19, 200 Work in process $ 54, 100 $ 65,100 Finished goods $ 34,900 $ 43,000 Required: Prepare a schedule of cost of goods manufactured. Prepare a schedule of cost of goods sold. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.
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The Brass Works is in the process of determining manufacturing overhead. Journalize the entries to record the following events to Factory Overhead, Administrative Expenses, and Selling Expenses, or allocated between the three as appropriate. All items were paid in cash at the time of acquisition. Next compute the overhead application rate and journalize the entry to apply overhead to Work in Process. a. Brass Works purchases an insurance policy for $4,000. It is computed that 80% of the value of the policy protects production, and the balance protects the administrative offices. Brass Works charges insurance initially to expense. If an amount box does not require an entry, leave it blank. fill in the blank 00ffb9fe1014fa4_2 fill in the blank 00ffb9fe1014fa4_3 fill in the blank 00ffb9fe1014fa4_5 fill in the blank 00ffb9fe1014fa4_6 fill in the blank 00ffb9fe1014fa4_8 fill in the blank 00ffb9fe1014fa4_9 b. The electric bill shows an amount due of…
Maryville Incorporated incurred the following costs during June: Raw materials used Direct labor Manufacturing overhead, actual Selling expenses Administrative expenses Interest expense $ 331,000 652,000 448,000 267,000 194,000 91,000 During the month, 53,000 units of product were manufactured and 48,000 units of product were sold. On June 1, Maryville carried no Inventories. On June 30, there were no inventories other than finished goods. Required: a. Calculate the cost of goods manufactured during June and the average cost per unit of product manufactured. b. Calculate the cost of goods sold during June. c. Calculate the difference between cost of goods manufactured and cost of goods sold. How will this amount be reported in the financial statements? d. Prepare a traditional (absorption) income statement for Maryville for the month of June. Assume that sales for the month was $2,448,000 and the company's effective income tax rate was 30%. Complete this question by entering your…
Johansen Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead to jobs. The Corporation has provided the following estimated costs for the next year: Direct materials $16,000 Direct labor $20,000 Rent on factory building $25,000 Sales salaries $25,000 Depreciation on factory equipment $8,000 Indirect labor $16,000 Production supervisor's salary $35,000 Jameson estimates that 25,000 direct labor-hours will be worked during the year. The predetermined overhead rate per hour will be: Group of answer choices 3.36 4.00 5.45 6.45
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