Refer to the information in the preceding exercise. Prorate the overhead variance as follows:

Workein-precessiinvemtor y taterre ane nee reeee eter..s ee e 10%

FIMSINOC-OOCSsIMV CMLON\ ae ccmceess mensnme stint aera iene aeeen eer 25 GOsnomQoodS: Solar seen ss: occu eae teee ne ease Oa ee eer 65 Refer to the informatioin n exercise 3.38. Prepare an entry to close the overhead variance into Cost of Goods Sold.

Melody Company manufactures one product and accounts for costs using a job-order costing system.

You have obtained the following information from the corporation’s books and records for the year ended December 31, year 1:

® Total manufacturing cost during last year was $500,000 based on actual direct material, actual direct labor, and manufacturing overhead applied on the basis of actual direct-labor dollars.

® Manufacturing overhead was applied to work in process at 75 percent of direct-labor dollars. Applied manufacturing overhead for the year was 33 percent of the total manufacturing cost during the year.

Required Compute actual direct material, actual direct labor, and applied manufacturing overhead. (Hint: The total of these costs is $500,000.)