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Concept introduction:
Direct material cost relates to the material which use in production and direct labor cost means the labor which helps in making raw material into finished goods and other remaining expenses are manufacturing
Raw material which is directly attributable to a job is transferred to the work in progress account and the raw material which is commonly used in the production of all products is transferred to the manufacturing overhead account.
Requirement-1:
To calculate:
Amount of raw material transferred to work in progress Inventory account.
Concept introduction:
Direct material cost relates to the material which use in production and direct labor cost means the labor which helps in making raw material into finished goods and other remaining expenses are manufacturing overhead.
Raw material which is directly attributable to a job is transferred to the work in progress account and the raw material which is commonly used in the production of all products is transferred to the manufacturing overhead account.
Requirement-2:
To calculate:
Amount of material transferred to manufacturing overhead account.
Concept introduction:
Direct material cost relates to the material which use in production and direct labor cost means the labor which helps in making raw material into finished goods and other remaining expenses are manufacturing overhead.
Raw material which is directly attributable to a job is transferred to the work in progress account and the raw material which is commonly used in the production of all products is transferred to the manufacturing overhead account.
Requirement-3:
To calculate:
Find out the balance in the raw material inventory account?
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Chapter 2 Solutions
MANAGERIAL ACCOUNTING >C<
- Tyson manufacturing company produces and sells 120,000 units of a single product. Variable costs total $340,000 and fixed costs total $480,000. If each unit is sold for $12, what markup percentage is the company using? Right Answerarrow_forwardNonearrow_forwardWhat is the inventory turnover ratio?arrow_forward
- Can you help me with accounting questionsarrow_forwardOn January 1, Park Corporation and Strand Corporation had condensed balance sheets as follows: Items Current assets Noncurrent assets Total assets Current liabilities Long-term debt Stockholders' equity Total liabilities and equities Park $ 70,000 90,000 Strand $ 20,000 40,000 $ 60,000 $ 160,000 $ 30,000 $ 10,000 50,000 Ө 80,000 50,000 $ 160,000 $ 60,000 On January 2, Park borrowed $60,000 and used the proceeds to obtain 80 percent of the outstanding common shares of Strand. The acquisition price was considered proportionate to Strand's total fair value. The $60,000 debt is payable in 10 equal annual principal payments, plus interest, beginning December 31. The excess fair value of the investment over the underlying book value of the acquired net assets is allocated to inventory (60 percent) and to goodwill (40 percent). Required: On a consolidated balance sheet as of January 2, calculate the amounts for each of the following: a. Current assets b. Noncurrent assets c. Current…arrow_forwardProvide answer A B Carrow_forward
- Need help this question financial accountingarrow_forwardneed help this questions financial accountingarrow_forwardDirect materials used totaled $65,750; direct labor incurred totaled $199,400; manufacturing overhead totaled $344,800; Work in Process Inventory on January 1, 2004, was $186,100; and Work in Process Inventory on December 31, 2004, was $191,600. What is the cost of goods manufactured for the year ended December 31, 2004? Right Answerarrow_forward
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