The following were taken from accounting records of Bella Company in December 2020. Prime cost, P301,000 Gross profit rate on sales, 20% Cost of goods available for sale, P460,000 Direct materials purchased, P170,000 Work in process, December 1, 2020, P34,000 Direct Materials, December 1, 2020, P16,000 Finished goods, December 1, 2020, P30,000 Factory overhead, 40% of conversion cost. Sales, P500,000 Direct labor, P180,000 Compute for December 31, 2020: (1) Direct materials inventory; (2) Work in process inventory; (3) Finished goods inventory: A.(1) P6,000 ; (2) P25,400 ; (3) P30,000 B. (1) P49,000 ; (2) P25,000 ; (3) P30,000 C. (1) P65,000 ; (2) P25,400 ; (3) P60,000 D. (1) P65,000 ; (2) P25,000 ; (3) P60,000

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter5: Process Costing
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Problem 12EA: What are the total costs to account for if a companys beginning inventory had $231,432 in materials,...
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4.
The following were taken from accounting records of Bella Company in December 2020.
Prime cost, P301,000
Gross profit rate on sales, 20%
Cost of goods available for sale, P460,000
Direct materials purchased, P170,000
Work in process, December 1, 2020, P34,000
Direct Materials, December 1, 2020, P16,000
Finished goods, December 1, 2020, P30,000
Factory overhead, 40% of conversion cost.
Sales, P500,000
Direct labor, P180,000
Compute for December 31, 2020: (1) Direct materials inventory; (2) Work in process inventory; (3) Finished goods
inventory:


A.(1) P6,000 ; (2) P25,400 ; (3) P30,000
B. (1) P49,000 ; (2) P25,000 ; (3) P30,000
C. (1) P65,000 ; (2) P25,400 ; (3) P60,000
D. (1) P65,000 ; (2) P25,000 ; (3) P60,000

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