Chapter 3, Problem 52P

Marco Polo Map Company’s cost of goods sold for March was $345,000. March 31 work-in-process inventory was 90 percent of March I work-in-process inventory. Manufacturing overhead applied was 50 percent of direct-labor cost. Other information pertaining to the company’s inventories and production for the month of March is as follows:

Required:

1. 1. Prepare a schedule of cost of goods manufactured for the month of March.
2. 2. Prepare a schedule to compute the prime costs (direct material and direct labor) incurred during March.
3. 3. Prepare a schedule to compute the conversion costs (direct labor and manufacturing overhead) charged to work in process during March.