13/16

estimated total overhead costs to be $300900. and direct labor costs to be $150,000. Actual overhead costs iorthe yeartotaled $330,000, and actual direct labor costs totaled $170,000. At year-end, Factory Overhead account is: 13 Mango Company applies overhead based on direct labor costs. For the current year, Mango Company Lowden Company usesjob order costing and applies overhead to eachjob at the rate ot163% of direct 14 materials cost. During the current period, direct labor cost is $64,000 and direct materials cost is $76,000. How much overhead cost should Lowden Company apply in the current period? forthe yearwere $112,500 and $125000, respectively. During the year, actual overhead was $107,400 and actual direct labor cost was $120,000. The entry to close the over- or underapplied overhead at year-end, assuming an immaterial amount, would include: 1 5 Clemens Company applies overhead based on direct labor cost. Estimated overhead and direct labor costs A production department reports the following conversion costs. Equivalent units of production ior conversion 16 total 500,000 for this period. Calculate the cost per equivalent unit of production for conversion. The company uses the weightedvaverage method. Cost of beginning work in process $ 250.000 Costs added this period 35 800,000 Wyman Corporation uses a process costing system. The company manufactured certain goods at a cost of 17 $800 and sold them on credit to Percy Corporation for $1.075. The completejournal entry to be made by Wyman at the time of this sale is: During December, the production department oia process operations system completed and transferred to 18 finished goods a total of62,000 units of product. At the end of March, 18,000 additional units were in process in the production department and were 70% complete with respect to direct materials. The beginning inventory included materials cost of$58,200 and the production department incurred direct materials cost of $185,100 during December. Compute the direct materials cost per equivalent unit for the department using the weighted~average methodt Pitt Enterprises manufactures jeans. All materials are introduced at the beginning ofthe manufacturing 1 9 process in the Cutting department. Conversion costs are incurred uniformly throughout the manufacturing process As the cutting of material is completed, the pieces are immediately transferred to the Sewing department. Information for the Cutting department for the month of May follows. Direct materials Conversion | Units Percent Complete Comple' Beginning work in process inventory 52,500 1009s 3595 Units started and completed 230,000 Units completed and transferred out 205,000 Ending work in process inventory 77,500 1009s 1595 Production cost information Torthe Cutting department follows: Beginning work in process Direct materials $ 75,500 Conversion 39,050 $ 114,550 Costs added this period Direct materials $ 372,600 Conversion 356.850 729,450 If Pitt Enterprises uses the FIFO method of process costing, compute the cost per equivalent unit for direct materials and conversion costs respectively for May