Srevden Corporation has the following beginning inventory balances: Raw Material Inventory = $825,000 Work In Process Inventory = $160,000 Finished Goods Inventory = $940,000 During the period, Grexden purchased $3,100,000 worth of raw materials and placed $3,220,000 worth of raw materials into production. Greydon incurred $2,330,000 in direct labor costs and applied $1,500,000 in overhead during the period. The cost of goods completed during the period was $7,020,000 and the cost of goods sold was $7,160,000. a) What is the ending balance for raw materials inventory? b) What is the ending balance for work in process inventory? c) What is the ending balance for finished goods inventory? d) If actual overhead costs incurred during the period were $1,525,000, what journal entry would the company make to account for overapplied or underapplied overhead?

Srevden Corporation has the following beginning inventory balances: Raw Material Inventory = $825,000 Work In Process Inventory = $160,000 Finished Goods Inventory = $940,000 During the period, Grexden purchased $3,100,000 worth of raw materials and placed $3,220,000 worth of raw materials into production. Greydon incurred $2,330,000 in direct labor costs and applied $1,500,000 in overhead during the period. The cost of goods completed during the period was $7,020,000 and the cost of goods sold was $7,160,000. a) What is the ending balance for raw materials inventory? b) What is the ending balance for work in process inventory? c) What is the ending balance for finished goods inventory? d) If actual overhead costs incurred during the period were $1,525,000, what journal entry would the company make to account for overapplied or underapplied overhead?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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part d
What is the value of the ending Work-in-Process Inventory?
Fortune Company had beginning raw materials inventory of $9,900. During the period, the company purchased $55,500 of raw materials on account. If the ending balance in raw materials was $6,900, the amount of raw materials transferred to work in process is: Multiple Choice $52,500. $58,500. $55,500. $62,400.