[The following information applies to the questions displayed below.] The following Information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 70% of direct labor cost. Inventories Raw materials Work in process Finished goods Beginning of Period $ 43,000 10,200 63,000 Cost incurred for the period Raw materials purchases Factory payroll Factory overhead (actual) Indirect materials used Indirect labor used Other overhead costs End of Period $ 52,000 21,300 35,600 $ 210,000 345,000 15,000 80,000 120,000 1. In the Raw Materials Inventory T-account, Insert amounts for beginning and ending balances along with purchases and Indirect materials used. Solve for direct materials used in the period. 2. Compute the cost of direct labor used for the period. 3. In the Work In Process Inventory T-account, Insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period. 4. In the Finished Goods Inventory T-account, Insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under-or overapplied overhead). 5. In the Factory Overhead T-account, Insert amounts for Indirect materials used, Indirect labor used, other overhead costs, and applied overhead. Solve for underapplied or overapplied overhead.
[The following information applies to the questions displayed below.] The following Information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 70% of direct labor cost. Inventories Raw materials Work in process Finished goods Beginning of Period $ 43,000 10,200 63,000 Cost incurred for the period Raw materials purchases Factory payroll Factory overhead (actual) Indirect materials used Indirect labor used Other overhead costs End of Period $ 52,000 21,300 35,600 $ 210,000 345,000 15,000 80,000 120,000 1. In the Raw Materials Inventory T-account, Insert amounts for beginning and ending balances along with purchases and Indirect materials used. Solve for direct materials used in the period. 2. Compute the cost of direct labor used for the period. 3. In the Work In Process Inventory T-account, Insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period. 4. In the Finished Goods Inventory T-account, Insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under-or overapplied overhead). 5. In the Factory Overhead T-account, Insert amounts for Indirect materials used, Indirect labor used, other overhead costs, and applied overhead. Solve for underapplied or overapplied overhead.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Concept explainers
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
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Please help with the uncompleted (attached). Drawing a blank.
Transcribed Image Text:Required 1 3 4
and 5
1. In the Raw Materials Inventory T-account, insert amounts for beginning and ending balances along with purchases and indirect materials used. Solve for direct materials used in the period.
3. In the Work in Process Inventory T-account, insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of
goods manufactured in the period.
4. In the Finished Goods Inventory T-account, insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any
under- or overapplied overhead).
5. In the Factory Overhead T-account, insert amounts for indirect materials used, indirect labor used, other overhead costs, and applied overhead. Solve for underapplied or overapplied overhead.
Beginning
Purchases
Ending
Required 2
Beginning
Cost of goods manufactured
Ending
Raw Materials Inventory
43,000
210,000
238,000
Beginning
Direct materials
15,000 Indirect materials.
Finished Goods Inventory
63,000
63,000
Ending
Beginning
Cost of goods sold
Ending
Beginning
Direct materials
Direct labor
Overhead applied
Ending
Beginning
Other overhead
Underapplied OH
Work in Process Inventory
10,200
265,000
275,200
Factory Overhead
15,000
80,000
120,000
215,000
Beginning
Cost of goods manufactured
Ending
Beginning
Show less
![Required Information
[The following information applies to the questions displayed below.]
The following information is available for ADT Company, which produces special-order security products and uses a job
order costing system. Overhead is applied using a predetermined overhead rate of 70% of direct labor cost.
Inventories
Raw materials
Work in process
Finished goods
Beginning of
Period
Cost incurred for the period
$
Raw materials purchases
Factory payroll
Factory overhead (actual)
$ 43,000
10, 200
63,000
Indirect materials used
Indirect labor used
Other overhead costs
End of Period
$ 52,000
21,300
35,600
210,000
345,000
15,000
80,000
120,000
1. In the Raw Materials Inventory T-account, Insert amounts for beginning and ending balances along with purchases and Indirect
materials used. Solve for direct materials used in the period.
2. Compute the cost of direct labor used for the period.
3. In the Work in Process Inventory T-account, Insert amounts for beginning and ending balances along with direct materials used
(from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period.
4. In the Finished Goods Inventory T-account, Insert amounts for beginning and ending balances along with cost of goods
manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under- or overapplied overhead).
5. In the Factory Overhead T-account, Insert amounts for indirect materials used, indirect labor used, other overhead costs, and
applied overhead. Solve for underapplied or overapplied overhead.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F71ce8e5a-a520-47c6-9f2e-d028b6184b03%2Fe413ec25-aa34-411e-a703-1f264a653c6b%2F08x9wfi_processed.png&w=3840&q=75)
Transcribed Image Text:Required Information
[The following information applies to the questions displayed below.]
The following information is available for ADT Company, which produces special-order security products and uses a job
order costing system. Overhead is applied using a predetermined overhead rate of 70% of direct labor cost.
Inventories
Raw materials
Work in process
Finished goods
Beginning of
Period
Cost incurred for the period
$
Raw materials purchases
Factory payroll
Factory overhead (actual)
$ 43,000
10, 200
63,000
Indirect materials used
Indirect labor used
Other overhead costs
End of Period
$ 52,000
21,300
35,600
210,000
345,000
15,000
80,000
120,000
1. In the Raw Materials Inventory T-account, Insert amounts for beginning and ending balances along with purchases and Indirect
materials used. Solve for direct materials used in the period.
2. Compute the cost of direct labor used for the period.
3. In the Work in Process Inventory T-account, Insert amounts for beginning and ending balances along with direct materials used
(from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period.
4. In the Finished Goods Inventory T-account, Insert amounts for beginning and ending balances along with cost of goods
manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under- or overapplied overhead).
5. In the Factory Overhead T-account, Insert amounts for indirect materials used, indirect labor used, other overhead costs, and
applied overhead. Solve for underapplied or overapplied overhead.
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