1 Stanford Enterprises uses job-order costing. 2 The allocation base for overhead is direct labor hours. 4 Data for the year just ended: 5 Estimated total manufacturing overhead cost 6 Estimated total direct labor hours 7 Actual total direct labor hours ------ $ 275,000 25,000 27,760 9 Actual costs for the year: 10 Purchase of raw materials (all direct) Direct labor cost Manufacturing overhead costs $375,000 $536,300 $302,750 14 Inventories: Raw materials (all direct) 16 Work in process Finished goods Beginning 15,000 27,875 34,600 Ending $ 11,375 $ 22,350 $ 17 19 Use the data to answer the following. 21 1. Compute applied overhead and determine the amount of underapplied or overapplied overhead: Actual manufacturing overhead cost $ 302,750 Predetermined overhead rate Actual direct labor hours Sheet1 ... + + 100% 24 READY hominis Help Save & Exit Submit F 302,750 G $ Actual manufacturing overhead cost Predetermined overhead rate Actual direct labor hours Manufacturing overhead applied Underapplied (overapplied) manufacturing overhead 29 2. Prepare a schedule of cost of goods manufactured: 34 Stanford Enterprises Schedule of Cost of Goods Manufactured 33 Direct materials: Raw materials inventory, beginning 35 Add: Purchases of raw materials 36 Total raw materials available Deduct: Raw materials inventory, ending 38 Raw materials used in production 39 Direct labor 40 Manufacturing overhead applied to work in process 41 Total manufacturing costs 42 Add: Beginning work in process inventory 44 Deduct: Ending work in process inventory 45. Cost of goods manufactured ... Sheet1 ... 6 + 100% ! READY Attempt(s) Saved Help Save & Exh Su 41 Total manufacturing costs 42 Add: Beginning work in process inventory 43 44 Deduct: Ending work in process inventory 45 Cost of goods manufactured 47 3. Prepare a schedule of cost of goods sold. Stanford Enterprises Schedule of Cost of Goods Sold 52 Finished goods inventory, beginning 53 Add: Cost of goods manufactured 54 Cost of goods available for sale ss Deduct: Finished goods inventory, ending 56 Unadjusted cost of goods sold 57 Underapplied (overapplied) overhead 58 Adjusted cost of goods sold + 100% Sheet1