Work-in-Process Inventory for Carston Incorporated at the beginning of the year was a single job, Job T114: Job # Direct Materials Direct Labor Overhead Total T114 $ 35,500 $ 18,250 $30,750 $84,500 The company's budgeted costs for the year are as follows: Budgeted overhead Variable $ 72,000 60,000 30,000 Indirect materials Indirect labor Employee benefits Fixed Supervision Depreciation 15,000 17,000 $ 194,000 $ 97,000 Total Budgeted direct labor dollars Rate per direct labor dollar 200% The company's actual costs incurred during the year are as follows: Incurred by Jobs Job # Materials Labor Other Total $ 2,800 24,800 8,800 1,800 $ 10,800 19,600 36,000 17,200 $ 83,600 $ 13,600 44,400 44,800 19,000 T114 2$ T119 T133 T136 $ 38,200 $ 121,800 Incurred by Jobs Overhead Materials Labor Other Total Indirect materials and supplies Indirect labor $ 63,200 $ 63,200 53,200 53,200 Employee benefits Depreciation Supervision 35,800 35,800 17,000 13,200 $ 182,400 17,000 13,200 Total $ 63,200 $ 66,400 $ 52,800 Required: 1. What was the actual factory overhead for Carston Incorporated for the year? 2. What was overapplied or underapplied overhead for the year? 3. Job T114 was the only job completed and sold in the year. What amount was included in the Cost of Goods Sold account for this job?
Work-in-Process Inventory for Carston Incorporated at the beginning of the year was a single job, Job T114: Job # Direct Materials Direct Labor Overhead Total T114 $ 35,500 $ 18,250 $30,750 $84,500 The company's budgeted costs for the year are as follows: Budgeted overhead Variable $ 72,000 60,000 30,000 Indirect materials Indirect labor Employee benefits Fixed Supervision Depreciation 15,000 17,000 $ 194,000 $ 97,000 Total Budgeted direct labor dollars Rate per direct labor dollar 200% The company's actual costs incurred during the year are as follows: Incurred by Jobs Job # Materials Labor Other Total $ 2,800 24,800 8,800 1,800 $ 10,800 19,600 36,000 17,200 $ 83,600 $ 13,600 44,400 44,800 19,000 T114 2$ T119 T133 T136 $ 38,200 $ 121,800 Incurred by Jobs Overhead Materials Labor Other Total Indirect materials and supplies Indirect labor $ 63,200 $ 63,200 53,200 53,200 Employee benefits Depreciation Supervision 35,800 35,800 17,000 13,200 $ 182,400 17,000 13,200 Total $ 63,200 $ 66,400 $ 52,800 Required: 1. What was the actual factory overhead for Carston Incorporated for the year? 2. What was overapplied or underapplied overhead for the year? 3. Job T114 was the only job completed and sold in the year. What amount was included in the Cost of Goods Sold account for this job?
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Transcribed Image Text:Work-in-Process Inventory for Carston Incorporated at the beginning of the year was a single job, Job T114:
Job #
Direct Materials Direct Labor
Overhead
Total
T114
$ 35,500
$ 18,250
$ 30,750
$ 84,500
The company's budgeted costs for the year are as follows:
Budgeted overhead
Variable
$ 72,000
60,000
30,000
Indirect materials
Indirect labor
Employee benefits
Fixed
Supervision
Depreciation
15,000
17,000
$ 194,000
$ 97,000
Total
Budgeted direct labor dollars
Rate per direct labor dollar
200%
The company's actual costs incurred during the year are as follows:
Incurred by Jobs
Job #
Materials
Labor
Other
Total
$ 2,800
24,800
8,800
1,800
$ 38,200
$ 10,800
19,600
36,000
$ 13,600
44,400
44,800
19,000
$ 121,800
T114
T119
T133
17,200
$ 83,600
T136
Incurred by Jobs
Overhead
Materials
Labor
Other
Total
Indirect materials and supplies
$ 63,200
63,200
53,200
Indirect labor
53,200
Employee benefits
Depreciation
Supervision
35,800
17,000
35,800
13,200
$ 66,400
17,000
13,200
$ 182,400
Total
$ 63,200
$ 52,800
Required:
1. What was the actual factory overhead for Carston Incorporated for the year?
2. What was overapplied or underapplied overhead for the year?
3. Job T114 was the only job completed and sold in the year. What amount was included in the Cost of Goods Sold
account for this job?
4. What was the amount of Work-in-Process Inventory at the end of the year?
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