Selected information from the Blake Corporation accounting records for June follows. Materials Inventory 86,000 458,000 Work-In-Process Inventory Labor Finished Goods Inventory 288,000 833,000 вв (6/1) 310,000 вв (6/1) 413,000 EB (6/30) 510,000 830,000 Manufacturing Overhead Control 320,000 Applied Manufacturing Overhead 341,000 Cost of Goods Sold 320,000 21,000 21,000 320,000 Additional information for June follows: • Labor wage rate was $20 per hour. • During the month, sales revenue was $1,023,000, and selling and administrative costs were $233,000. • This company has no indirect materials or supplies. • The company applies manufacturing overhead on the basis of direct labor-hours. Required: a. What was the cost of direct materials purchased in June? b. What was the over- or underapplied manufacturing overhead for June? c. What was the manufacturing overhead application rate in June? HWhot 1luno?
Selected information from the Blake Corporation accounting records for June follows. Materials Inventory 86,000 458,000 Work-In-Process Inventory Labor Finished Goods Inventory 288,000 833,000 вв (6/1) 310,000 вв (6/1) 413,000 EB (6/30) 510,000 830,000 Manufacturing Overhead Control 320,000 Applied Manufacturing Overhead 341,000 Cost of Goods Sold 320,000 21,000 21,000 320,000 Additional information for June follows: • Labor wage rate was $20 per hour. • During the month, sales revenue was $1,023,000, and selling and administrative costs were $233,000. • This company has no indirect materials or supplies. • The company applies manufacturing overhead on the basis of direct labor-hours. Required: a. What was the cost of direct materials purchased in June? b. What was the over- or underapplied manufacturing overhead for June? c. What was the manufacturing overhead application rate in June? HWhot 1luno?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Selected information from the Blake Corporation accounting records for June follows.
Materials InventorY
Work-In-Process Inventory
Finished Goods Inventory
вв (6/1)
86,000
458,000
вB (6/1)
Labor
EB (6/30)
310,000
510,000
288,000
833,000
413,000
830,000
Manufacturing Overhead Control
320,000
Cost of Goods Sold
Applied Manufacturing Overhead
341,000
21,000
320,000
320,000
21,000
Additional information for June follows:
• Labor wage rate was $20 per hour.
During the month, sales revenue was $1,023,000, and selling and administrative costs were $233,000.
This company has no indirect materials or supplies.
• The company applies manufacturing overhead on the basis of direct labor-hours.
Required:
a. What was the cost of direct materials purchased in June?
b. What was the over- or underapplied manufacturing overhead for June?
c. What was the manufacturing overhead application rate in June?
d. What was the cost of products completed during June?
e. What was the balance of the Work-in-Process Inventory account at the beginning of June?
f. What was the operating profit (or loss) for June? Any over- or underapplied overhead is written off to Cost of Goods Sold.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3d9d2769-642e-4766-9ef4-6b4ef452117b%2Fee1c1ad4-ec6f-485b-8ebc-f440ce565ffa%2Fw3hjtcw_processed.png&w=3840&q=75)
Transcribed Image Text:Selected information from the Blake Corporation accounting records for June follows.
Materials InventorY
Work-In-Process Inventory
Finished Goods Inventory
вв (6/1)
86,000
458,000
вB (6/1)
Labor
EB (6/30)
310,000
510,000
288,000
833,000
413,000
830,000
Manufacturing Overhead Control
320,000
Cost of Goods Sold
Applied Manufacturing Overhead
341,000
21,000
320,000
320,000
21,000
Additional information for June follows:
• Labor wage rate was $20 per hour.
During the month, sales revenue was $1,023,000, and selling and administrative costs were $233,000.
This company has no indirect materials or supplies.
• The company applies manufacturing overhead on the basis of direct labor-hours.
Required:
a. What was the cost of direct materials purchased in June?
b. What was the over- or underapplied manufacturing overhead for June?
c. What was the manufacturing overhead application rate in June?
d. What was the cost of products completed during June?
e. What was the balance of the Work-in-Process Inventory account at the beginning of June?
f. What was the operating profit (or loss) for June? Any over- or underapplied overhead is written off to Cost of Goods Sold.
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