The Fork Corporation manufactures one product and accounts for cost by a job-order cost system. You have obtained the following information for the year ended December 31, 2021 from the corporation's books and records: Total manufacturing cost added during 2021 based on actual direct materials, actual direct labor and applied factory overhead on actual direct labor cost - P1,000,000 Cost of goods manufactured based on actual direct materials and direct labor and applied factory overhead- 970,000 Applied factory overhead to work in process based on direct labor cost - 75% Applied factory overhead for the year, based on total manufacturing cost- 27% Beginning work in process inventory was 80% of ending work in process inventory. Compute the cost of direct materials used for year ended December 31, 2021.
The Fork Corporation manufactures one product and accounts for cost by a job-order cost system. You have obtained the following information for the year ended December 31, 2021 from the corporation's books and records: Total manufacturing cost added during 2021 based on actual direct materials, actual direct labor and applied factory overhead on actual direct labor cost - P1,000,000 Cost of goods manufactured based on actual direct materials and direct labor and applied factory overhead- 970,000 Applied factory overhead to work in process based on direct labor cost - 75% Applied factory overhead for the year, based on total manufacturing cost- 27% Beginning work in process inventory was 80% of ending work in process inventory. Compute the cost of direct materials used for year ended December 31, 2021.
Chapter1: Financial Statements And Business Decisions
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