Dave Inc has the following cost details for the year 2015. Direct Materials Inventory = $15,000 Dr. WIP Inventory= 34,500 Dr. Finished Goods Inventory= 49,500 Dr. Cost of Goods Sold= 74,500 Dr. Additional information is as follows: Cost of direct materials purchased during 2015 =$41,000 Cost of direct materials requisitioned in 2015 =47,000 Cost of goods completed during 2015 =102,000 Factory overhead applied (120% of direct labour) =48,000 Underapplied factory overhead = 4,000 Required: Compute beginning direct materials inventory. Compute beginning WIP inventory. Compute beginning finished goods inventory. Compute actual factory overhead incurred.
Dave Inc has the following cost details for the year 2015. Direct Materials Inventory = $15,000 Dr. WIP Inventory= 34,500 Dr. Finished Goods Inventory= 49,500 Dr. Cost of Goods Sold= 74,500 Dr. Additional information is as follows: Cost of direct materials purchased during 2015 =$41,000 Cost of direct materials requisitioned in 2015 =47,000 Cost of goods completed during 2015 =102,000 Factory overhead applied (120% of direct labour) =48,000 Underapplied factory overhead = 4,000 Required: Compute beginning direct materials inventory. Compute beginning WIP inventory. Compute beginning finished goods inventory. Compute actual factory overhead incurred.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Dave Inc has the following cost details for the year 2015.
Direct Materials Inventory = $15,000 Dr.
WIP Inventory= 34,500 Dr.
Finished Goods Inventory= 49,500 Dr.
Cost of Goods Sold= 74,500 Dr.
Additional information is as follows:
Cost of direct materials purchased during 2015 =$41,000
Cost of direct materials requisitioned in 2015 =47,000
Cost of goods completed during 2015 =102,000
Factory
Underapplied factory overhead = 4,000
Required:
- Compute beginning direct materials inventory.
- Compute beginning WIP inventory.
- Compute beginning finished goods inventory.
- Compute actual factory overhead incurred.
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