Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the Cutting process. The following information is available regarding its May inventories: Ending Inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Beginning Inventory 133,500 153, 300 38,100 105,500 88,400 26,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching $ 70,000 24,000 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) $ 20,100 80,400 157, 300 Factory Overhead (Actual costs) $ 36,000 56,800 56,000 Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching (150% of direct materials used) (120% of direct labor used) $616,000 Sales

Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the Cutting process. The following information is available regarding its May inventories: Ending Inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Beginning Inventory 133,500 153, 300 38,100 105,500 88,400 26,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching $ 70,000 24,000 Direct labor Direct labor-Cutting Direct labor-Stitching Total factory payroll paid (in cash) $ 20,100 80,400 157, 300 Factory Overhead (Actual costs) $ 36,000 56,800 56,000 Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching (150% of direct materials used) (120% of direct labor used) $616,000 Sales

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter2: Accounting For Materials

Section: Chapter Questions

Problem 13P: Webster Company uses backflush costing to account for its manufacturing costs. The trigger points...

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[The following information applies to the questions displayed below] Sierra Company manufactures soccer balls in two sequential processes Cutting and Stitching All direct materiais enter production at the beginning of the cutting process. The following information is available regarding its May Inventories. Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-stitching Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching 70,500 66,700 Finished goods inventory 12,250 The following additional information describes the company's production activities for May Direct labor Direct labor-Cutting Direct labor-Stitching Factory Overhead (Actual costs) Indirect materials used Indirect labor used i Other overhead costs Factory Overhead Rates Cutting Stitching Sales $ 16,600 66,400 Beginning Inventory (a) Transferred to work in process-Stitching (b) Transferred to finished goods (c) Cost of goods sold $…
Required Information [The following Information applies to the questions displayed below.] Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding Its May Inventories: Beginning Inventory Ending Inventory Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory $ 6,000 $ 9,250 43,500 51,500 63,300 60,500 20,100 8,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching Direct labor Direct labor-Cutting Direct labor-Stitching Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching $ 25,000 21,750 0 $ 15,600 62,400 $ 6,000 55,000…
Required information [The following information applies to the questions displayed below.] Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories. Ending Inventory $ 122,500 Raw materials inventory Work in process inventory-Cutting 155,500 119,400 Work in process inventory-Stitching Finished goods inventory 46,250 The following additional information describes the company's production activities for May. Direct materials used-Cutting Direct materials used-Stitching Direct labor Direct labor-Cutting Direct labor-Stitching Direct materials Raw materials purchased on credit $ 120,000 26,500 0 Factory Overhead (Actual costs) Indirect materials used Indirect labor usedi Other overhead costs Factory Overhead Rates Cutting Stitching Sales Beginning Inventory. $ 25,100 100,400 (a) Transferred to work in…
es ! Required information [The following information applies to the questions displayed below.] Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories. Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching Finished goods inventory Direct materials Raw materials purchased on credit Direct materials used-Cutting Direct materials used-Stitching Direct labor Direct labor-Cutting Direct labor-Stitching The following additional information describes the company's production activities for May. Factory Overhead (Actual costs) Indirect materials used Indirect labor used Other overhead costs Factory Overhead Rates Cutting Stitching Sales $ 17,600 70,400 Beginning Inventory $ 26,000 83,500 103,300 28,100 (a) Transferred to work in process-Stitching (b) Transferred to…
Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories: Beginning Inventory Ending Inventory Raw materials inventory $ 6,000 $ 9,250 Work in process inventory—Cutting 43,500 51,500 Work in process inventory—Stitching 63,300 60,500 Finished goods inventory 20,100 8,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit $ 25,000 Direct materials used—Cutting 21,750 Direct materials used—Stitching 0 Direct labor Direct labor—Cutting $ 15,600 Direct labor—Stitching 62,400 Factory Overhead (Actual costs) Indirect materials used $ 6,000 Indirect labor used 55,000 Other overhead costs 46,505 Factory Overhead Rates Cutting 150% of direct materials used…
n the Raw Materials Inventory T-account, insert amounts for beginning and ending balances along with purchases and indirect materials used. Solve for direct materials used in the period. Compute the cost of direct labor used for the period. In the Work in Process Inventory T-account, insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period. In the Finished Goods Inventory T-account, insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under- or overapplied overhead). In the Factory Overhead T-account, insert amounts for indirect materials used, indirect labor used, other overhead costs, and applied overhead. Solve for underapplied or overapplied overhead.
Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories. Beginning Inventory Ending Inventory Raw materials inventory $ 81,000 $ 97,900 Work in process inventory—Cutting 193,500 135,500 Work in process inventory—Stitching 213,300 107,000 Finished goods inventory 50,100 38,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit $ 100,000 Direct materials used—Cutting 25,500 Direct materials used—Stitching 0 Direct labor Direct labor—Cutting $ 23,100 Direct labor—Stitching 92,400 Factory Overhead (Actual costs) Indirect materials used $ 57,600 Indirect labor used 58,000 Other overhead costs 62,000 Factory Overhead Rates Cutting 150% of direct…
Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Use the following selected account balances of Delray Manufacturing for the year ended December 31. Sales Raw materials inventory, beginning Work in process inventory, beginning Pinished goods inventory, beginning Raw materials purchases Direct labor Indirect labor Repairs-Factory equipment Rent cost of factory building Selling expenses General and administrative expenses Raw materials inventory, ending Work in process inventory, ending Finished goods inventory, ending $ 2,050,000 86,000 112,000 146,000 396,000 475,000 71,000 57,000 114,000. 182,000 291,000 103,000 134,000 175,000 Exercise 1-13 (Algo) Preparing schedule of cost of goods manufactured LO P2 Prepare its schedule of cost of noods manufactured for the
Required Information Use the following Information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] The following dets is provided for Garcon Company and Pepper Company for the year ended December 31. Finished goods inventory, beginning work in process inventory, beginning Raw materials inventory, beginning Rental cost on factory equipment Direct labor Finished goods inventory, anding Work in process inventory, ending Raw materials inventory, ending Factory and administrative expenses Indirect labor Repairs-Factory equipment Raw materials purchases Selling expenses Sales Cash Accounts receivable, not Direct materials Required 2 Raw materials available for use Direct materials used Factory overhead Garcon Company $ 13,500 17,100 9,000 Total factory overhead Total manufacturing costs Total cost of work in process 28,000 24 600 20,600 17. 158 Exercise 14-7 (Algo) Computing cost of goods manufactured and cost of goods sold LO P1, P2 1.…
The following information is available for the first year of operations of Creston Inc., a manufacturer of fabricating equipment: Determine the following amounts: a. Cost of goods sold b. Direct materials cost c. Direct labor cost
Webster Company uses backflush costing to account for its manufacturing costs. The trigger points for recording inventory transactions are the purchase of materials, the completion of products, and the sale of completed products. Required: 1. Prepare journal entries, if needed, to account for the followingtransactions. a. Purchased raw materials on account, 135,000. b. Requisitioned raw materials to production, 135,000. c. Distributed direct labor costs, 20,000. d. Incurred manufacturing overhead costs, 80,000. (Use Various Credits for the credit part of the entry.) e. Cost of products completed, 235,000. f. Completed products sold for 355,000, on account. 2. Prepare any journal entries that would be different from theabove, if the only trigger points were the purchase of materialsand the sale of finished goods.
Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the Cutting process. The following information is available regarding its May inventories: BeginningInventory EndingInventory Work in process inventory—Cutting 63,500 70,500 Work in process inventory—Stitching 83,300 66,700 Finished goods inventory 24,100 12,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit $ 35,000 Direct materials used—Cutting 22,250 Direct materials used—Stitching 0 Direct labor Direct labor—Cutting $ 16,600 Direct labor—Stitching 66,400 Total factory payroll paid (in cash) 138,400 Factory Overhead (Actual costs) Indirect materials used $ 10,800 Indirect labor used 55,400 Other overhead costs…