1. The Zoe Corporation has the following information for themonth March. Determine the (a) cost of goods manufactured, and (b)cost of goods sold.
Cost of materials placed in production
$69,000
Direct labor
27,000
Factory overhead
34,000
Work in process, March 1
15,000
Work in process, March 31
19,500
Finished goods inventory, March 1
25,000
Finished goods inventory, March 31
23,000
2. Magnus Industries hasthe following data:
Beginning Raw Materials Inventory
$75,000
Materials purchased
$40,000
Ending Raw Materials Inventory
$60,000
Show how you would calculate Raw Materials Used.
3. Cavy Company estimatesthat total factory overhead costs will be $660,000 for the year.Direct labor hours are estimated to be 100,000. Determine (a) thepredetermined factory overhead rate, (b) the amount of factoryoverhead applied to Job 345 if the amount of direct labor hours is560 and Job 777 if the amount of direct labor hours is 800, and (c)prepare the journal entry to apply factory overhead in Aprilaccording to the predetermined overhead rate.
4 At the end ofApril, Cavy Company had completed Job 766 and 765. According to theindividual job cost sheets the information is as follows:
Job
Direct Materials
Direct Labor
Machine Hours
Job 765
$5,670
$3,500
27
Job 766
$8,900
$4,775
44
Job 765 produced 152 units, and Job 766 consisted of 250units.
Assuming that the predetermined overhead rate is applied byusing machine hours at a rate of $200 per hour, determine the (a)balance on the job cost sheets for each job, and (b) the cost perunit at the end of April.
5. The Winston Companyestimates that the factory overhead for the following year will be$1,250,000. The company has decided that the basis for applyingfactory overhead should be machine hours, which is estimated to be50,000 hours. The total machine hours for the year was 54,300. Theactual factory overhead for the year was $1,375,000.
a) Determine the total factory overhead amount applied.
b) Calculate the over or under applied amount for the year.
c) Prepare the journal entry to close factory overhead into Costof Goods Sold.
6. The manufacturing costof Carrie Industries for the first three months of the year areprovided below:
Total Cost
Production
January
$ 93,300
2,300 Units
February
115,500
3,100
March
79,500
1,900
Using the high-low method, determine the (a) variable cost perunit, and (b) the total fixed cost.
7. Bobby Company has fixedcosts of $160,000. The unit selling price, variable cost per unit,and contribution margin per unit for the company
1. The Zoe Corporation has the following information for themonth March. Determine the (a) cost of goods manufactured, and (b)cost of goods sold.
Cost of materials placed in production | $69,000 |
Direct labor | 27,000 |
Factory overhead | 34,000 |
Work in process, March 1 | 15,000 |
Work in process, March 31 | 19,500 |
Finished goods inventory, March 1 | 25,000 |
Finished goods inventory, March 31 | 23,000 |
2. Magnus Industries hasthe following data:
Beginning Raw Materials Inventory | $75,000 |
Materials purchased | $40,000 |
Ending Raw Materials Inventory | $60,000 |
Show how you would calculate Raw Materials Used.
3. Cavy Company estimatesthat total factory overhead costs will be $660,000 for the year.Direct labor hours are estimated to be 100,000. Determine (a) thepredetermined factory overhead rate, (b) the amount of factoryoverhead applied to Job 345 if the amount of direct labor hours is560 and Job 777 if the amount of direct labor hours is 800, and (c)prepare the journal entry to apply factory overhead in Aprilaccording to the predetermined overhead rate.
4 At the end ofApril, Cavy Company had completed Job 766 and 765. According to theindividual job cost sheets the information is as follows:
Job | Direct Materials | Direct Labor | Machine Hours |
Job 765 | $5,670 | $3,500 | 27 |
Job 766 | $8,900 | $4,775 | 44 |
Job 765 produced 152 units, and Job 766 consisted of 250units.
Assuming that the predetermined overhead rate is applied byusing machine hours at a rate of $200 per hour, determine the (a)balance on the job cost sheets for each job, and (b) the cost perunit at the end of April.
5. The Winston Companyestimates that the factory overhead for the following year will be$1,250,000. The company has decided that the basis for applyingfactory overhead should be machine hours, which is estimated to be50,000 hours. The total machine hours for the year was 54,300. Theactual factory overhead for the year was $1,375,000.
a) Determine the total factory overhead amount applied.
b) Calculate the over or under applied amount for the year.
c) Prepare the journal entry to close factory overhead into Costof Goods Sold.
6. The manufacturing costof Carrie Industries for the first three months of the year areprovided below:
Total Cost | Production | |
January | $ 93,300 | 2,300 Units |
February | 115,500 | 3,100 |
March | 79,500 | 1,900 |
Using the high-low method, determine the (a) variable cost perunit, and (b) the total fixed cost.
7. Bobby Company has fixedcosts of $160,000. The unit selling price, variable cost per unit,and contribution margin per unit for the company