Moody Blues Chocolate Factory uses job costing to cost its products. In its first quarter of operations, the company incurred the following material and labor costs in manufacturing a batch of its chocolate candies. The company applies overhead to products using normal costing and uses machine hours as the cost driver.

Required
A. Calculate the direct materials ending inventory.
B. Calculate the work in process ending inventory.
C. Calculate the finished goods ending inventory.
D. At the end of the quarter, Moody Blues’ actual manufacturing overhead costs totaled $80,000. Calculate the over- or underapplied overhead for theperiod.

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Materials data: Direct material purchases Direct materials used in production (cost) $100,000 85,000 Labor data: Direct labor costs 60,000 Manufacturing overhead data: Overhead application rate per machine hour Machine hours used 9.00 10,000 Inventory data: Transferred to finished goods Cost of goods sold during quarter 210,000 190,000