Additional information follows: rom a Beginning Balance 12/1 Ending Balance 12/30 Direct materials purchased during December were $66,400. Cost of goods manufactured for December was $235,000. No direct materials were returned to suppliers. а. b. Materials Control $ 2,200 $ 8,600 с. Work-in-Process Control 6,800 9,100 d. No units were started or completed on December 31 and no direct materials were requisitioned on December 31. Manufacturing Department Overhead Control 94,500 The manufacturing labor costs for the December 31 working day: direct manufacturing labor, $4,350, and indirect manufacturing labor, $1,450. е. Finished Goods Control 4,500 19,500 f. Manufacturing overhead has been allocated at 140% of direct manufacturing labor costs through December 31. Print Done
Additional information follows: rom a Beginning Balance 12/1 Ending Balance 12/30 Direct materials purchased during December were $66,400. Cost of goods manufactured for December was $235,000. No direct materials were returned to suppliers. а. b. Materials Control $ 2,200 $ 8,600 с. Work-in-Process Control 6,800 9,100 d. No units were started or completed on December 31 and no direct materials were requisitioned on December 31. Manufacturing Department Overhead Control 94,500 The manufacturing labor costs for the December 31 working day: direct manufacturing labor, $4,350, and indirect manufacturing labor, $1,450. е. Finished Goods Control 4,500 19,500 f. Manufacturing overhead has been allocated at 140% of direct manufacturing labor costs through December 31. Print Done
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Topic Video
Question
C4Q5
Need help
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Prepare
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2.
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Use T-accounts to compute the following:
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a.
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The total amount of materials requisitioned into work-in-process during December
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b.
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The total amount of direct manufacturing labor recorded in work in process during December (Hint: You have to solve requirements 2b and 2c simultaneously)
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c.
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The total amount of manufacturing
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d.
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Ending balance in work-in-process, December 31
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e.
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Cost of goods sold for December before adjustments for under- or overallocated manufacturing overhead
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3.
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Prepare closing journal entries related to manufacturing overhead. Assume that all under- or overallocated manufacturing overhead is closed directly to Cost of Goods Sold.
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Transcribed Image Text:Bram Company uses normal costing in its job-costing system. The company produces custom bikes for toddlers. The beginning balances (December 1) and ending balances (as of December 30) in their inventory
accounts are as follows:
E (Click the icon to view the data.)
i (Click the icon to view the additional information.)
Read the requirements.
Requirement 1. Prepare journal entries for the December 31 payroll. (Record debits first, then credits. Exclude explanations from any journal entries.)
Begin by preparing the journal entry to recognize indirect and direct payroll for the December 31 work day.
Journal Entry
Accounts
Debit
Credit
(1a)
Transcribed Image Text:More Info
Data Table
rom a
Additional information follows:
Ending Balance
12/30
Beginning
а.
Direct materials purchased during December were $66,400.
Balance 12/1
b.
Cost of goods manufactured for December was $235,000.
Materials Control
2,200
8,600
с.
No direct materials were returned to suppliers.
Work-in-Process Control
6,800
9,100
d.
No units were started or completed on December 31 and no direct materials
Manufacturing Department Overhead
Control
were requisitioned on December 31.
94,500
The manufacturing labor costs for the December 31 working day: direct
manufacturing labor, $4,350, and indirect manufacturing labor, $1,450.
е.
Finished Goods Control
4,500
19,500
f.
Manufacturing overhead has been allocated at 140% of direct
manufacturing labor costs through December 31.
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Done
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