I have a few questions from the last chapter that still don't understand can i get help. **Bowen Company Manufacturing Overview**Bowen Company manufactures one product, using a standard cost system with no beginning or ending inventories. The predetermined overhead rate includes $1,000,000 fixed overhead and is based on 50,000 direct labor-hours, making the overhead rate $20.00 per hour.### Cost DetailsThe company procured materials at $11.20 per yard. During the period, 20,700 labor hours were worked, with a total cost of $291,400. Bowen started and completed 9,500 units during this time.**Standard Cost Breakdown:**| Inputs | Quantity or Hours | Standard Price or Rate | Standard Cost ||-------------------------------------|-------------------|------------------------|-----------------|| **Direct materials** | 4.4 yards | $11.20 per yard | $49.28 || **Direct labor** | 3.6 hours | $17.00 per hour | $61.20 || **Fixed manufacturing overhead** | 3.8 hours | $20.00 per hour | $76.00 || **Total standard cost per unit** | | | **$204.00** |### Required Analysis1. **Recording Raw Material Purchases:** - **Raw Materials Inventory**: Will increase by ___? - **Cash**: Will decrease by ___?2. **Recording the Use of Raw Materials in Production:** - **Raw Materials Inventory**: Will decrease by ___? - **Work in Process Inventory**: Will increase by ___?3. **Recording Direct Labor Costs Added to Production:** - **Work in Process Inventory**: Will increase by ___? - **Cash**: Will decrease by ___?4. **Applying Fixed Manufacturing Overhead:** - **Work in Process Inventory**: Will increase by ___?5. **Transferring Costs to Finished Goods:** - **Finished Goods Inventory**: Will increase (decrease) by ___?### Answer Table| Question Number | Description | Increase/Decrease | Amount ||-----------------|-----------------------------------------|-------------------|-----------------|| 1a | The raw materials will | ___ | by ___ || 1b | The cash will | ___ | by ___ || 2a | The

Standard costing: Standard costing consists of the setting of the predetermined estimate of costs…

Bowen Company manufactures one product, It does not malntaln any beginning or ending Inventorles, and Its uses a standard cost system. Its predetermined overhead rate Includes $1,000,000 of fixed overhead In the numerator and 50,000 direct labor-hours In the denominator. The company purchased (with cash) and used 46,000 yards of raw materlals at a cost of $11.20 per yard. Its direct laborers worked 20,700 hours and were pald a total of $291,400. The company started and completed 9,500 units of finished goods during the perlod. Bowen's standard cost card for Its only product Is as follows: (1) (2) Standard Standard Standard Quantity or Price Cost Inputs Hours or Rate $17.00 per yard $14.00 per hour $20.00 per hour (1) х (2) Direct materials 4.4 yards a.8 hours $ 74.80 Direct labor 53.20 Fixed manufacturing overhead 3.8 hours 76.00 Total standard cost per unit $204.00 Required: 1. When recording the raw material purchases: a. The Raw Materlals Inventory will Increase (decrease) by how much? b. The Cash will Increase (decrease) by how much? 2 When recording the raw materlals used In production: a. The Raw Materlals Inventory will Increase (decrease) by how much? b. The Work In Process Inventory will Increase (decrease) by how much? 3. When recording the direct labor costs added to production: a. The Work In Process Inventory will Increase (decrease) by how much? b. The Cash will Increase (decrease) by how much? 4. When applying fixed manufacturing overhead to production, the Work In Process Inventory will Increase (decrease) by how much? 5. When transferring manufacturing costs from Work In Process to Finished Goods, the Finished Goods Inventory will Increase (decrease) by how much? 1a. The raw materials will by 1b. The cash will by 2a. The raw materials will by 2b. The work in process will by 3a. The work in process will by 3b. The cash will by by 4. The work in process will by 5 The finished goods will

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q