Haughton Company uses a job costing system for its production costs and a predetermined factory overhead rate based on direct labor costs to apply factory overhead to all jobs. During the month of July, the firm processed three jobs: X13, X14, and X15, of which X13 was started in June. July 1 July 31 Inventories Direct Materials $ 37,900 ? Work-in-Process 43,800 ? Finished Goods 0 0 Cost of Goods Sold $ ? Direct materials purchased in July 69,000 Materials issued to production: X13 18,060 X14 35,420 X15 14,700 Factory labor hours used ($30/hour): X13 4,200 X14 3,500 X15 2,300 Indirect labor 7,600 Other factory overhead costs incurred: Rent $ 138,500 Utilities 789,600 Repairs and maintenance 195,500 Depreciation 138,100 Other 63,000 As of July 31, Job X13 was sold and Jobs X14 and X15 were still in process. Total factory overhead applied in July was $1,560,000. Required: 5. Prepare the Statement of Cost of Goods Manufactured for July. 6. Compute the amount of overapplied or underapplied overhead. 7. What is the cost per unit of Job X13 if it has a total of 100 units?
Haughton Company uses a job costing system for its production costs and a predetermined factory overhead rate based on direct labor costs to apply factory overhead to all jobs. During the month of July, the firm processed three jobs: X13, X14, and X15, of which X13 was started in June. July 1 July 31 Inventories Direct Materials $ 37,900 ? Work-in-Process 43,800 ? Finished Goods 0 0 Cost of Goods Sold $ ? Direct materials purchased in July 69,000 Materials issued to production: X13 18,060 X14 35,420 X15 14,700 Factory labor hours used ($30/hour): X13 4,200 X14 3,500 X15 2,300 Indirect labor 7,600 Other factory overhead costs incurred: Rent $ 138,500 Utilities 789,600 Repairs and maintenance 195,500 Depreciation 138,100 Other 63,000 As of July 31, Job X13 was sold and Jobs X14 and X15 were still in process. Total factory overhead applied in July was $1,560,000. Required: 5. Prepare the Statement of Cost of Goods Manufactured for July. 6. Compute the amount of overapplied or underapplied overhead. 7. What is the cost per unit of Job X13 if it has a total of 100 units?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Haughton Company uses a
| July 1 | July 31 | ||||||
| Inventories | |||||||
| Direct Materials | $ | 37,900 | ? | ||||
| Work-in-Process | 43,800 | ? | |||||
| Finished Goods | 0 | 0 | |||||
| Cost of Goods Sold | $ | ? | |||||
| Direct materials purchased in July | 69,000 | ||||||
| Materials issued to production: | |||||||
| X13 | 18,060 | ||||||
| X14 | 35,420 | ||||||
| X15 | 14,700 | ||||||
| Factory labor hours used ($30/hour): | |||||||
| X13 | 4,200 | ||||||
| X14 | 3,500 | ||||||
| X15 | 2,300 | ||||||
| Indirect labor | 7,600 | ||||||
| Other |
|||||||
| Rent | $ | 138,500 | |||||
| Utilities | 789,600 | ||||||
| Repairs and maintenance | 195,500 | ||||||
| 138,100 | |||||||
| Other | 63,000 | ||||||
As of July 31, Job X13 was sold and Jobs X14 and X15 were still in process.
Total factory overhead applied in July was $1,560,000.
Required:
5. Prepare the Statement of Cost of Goods Manufactured for July.
6. Compute the amount of overapplied or underapplied overhead.
7. What is the cost per unit of Job X13 if it has a total of 100 units?
8. Prepare the Statement of Cost of Goods Sold for July.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 6 steps with 4 images
Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education