Problem 3-14 Schedule of Cost of Goods Manufactured; Overhead Analysis [LO3-3, LO3-4] Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used in production (not on the basis of raw materials purchased). Its predetermined overhead rate was based on a cost formula that estimated $119,600 of manufacturing overhead for an estimated allocation base of $92,000 direct material dollars to be used in production. The company has provided the following data for the just completed year: $ 134,000 88,000 Purchase of raw materials Direct labor cost Manufacturing overhead costs: Indirect labor $ 111,700 8,200 16,000 16,000 7,700 37,000 Property taxes Depreciation of equipment Maintenance Insurance Rent, building Beginning $ 29,000 $ 15,000 $ 46,000 $ 36,000 $ 74,000 $ 57,000 Ending Raw Materials Work in Process Finished Goods Required: 1. Compute the predetermined overhead rate for the year. 2. Compute the amount of underapplied or overapplied overhead for the year. 3. Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials. 4. Compute the unadjusted cost of goods sold for the year. Do not include any underapplied or overapplied overhead in your answer. 5. Assume that the $36,000 ending balance in Work in Process includes $8,200 of direct materials. Given this assumption, supply the information missing below: Required 1 Required 2 Required 3 Required 4 Required 5 Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials. Gitano Products Schedule of Cost of Goods Manufactured Direct materials: 29,000 Beginning raw materials inventory Add: Purchases of raw materials 134,000 Total raw materials available 163,000 Less: Ending raw materials inventory Raw materials used in production 88,000 Direct labor Manufacturing overhead applied to work in process Total manufacturing costs Add: Beginning work in process inventory 46,000 46,000 Less: Ending work in process inventory (36,000) Cost of goods manufactured Required 2 Required 4