6 The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system. April 30 May 31 Part 1 of 4 $ 48,00 9,500 66,000 $ 36,eee 20, see 34,500 0.9 points Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 185, eee 250,000 9,820 57,500 103,500 2,800, eee 55% eBook Hint Exercise 19-7 Cost flows in a job order costing system LO P1, P2, P3, P4 Print Compute the following amounts for the month of May using T-accounts. 1. Cost of direct materials used. 2. Cost of direct labor used. Cost of goods manufactured. 4. Cost of goods sold." 5. Gross profit. 6. Overapplied or underapplied overhead. *Do not consider any underapplied or overapplied overhead. Raw Materials (RM) Work in Process (WIP) Finished Goods (FG) Factory Overhead 11 Exercise 19-15 Factory overhead computed, applied, and adjusted LO P3, P4 1 points In December 2016. Custom Mfg. established its predetermined overhead rate for jobs produced during 2017 by using the following cost predictions: overhead costs. $750.000, and direct materials costs. $500,000. At year-end 2017, the company's records show that actual overhead costs for the year are $737,800. Actual direct material cost had been assigned to jobs as follows. eBook Jobs completed and sold Jobs in finished goods inventory Jobs in work in process inventory Total actual direct materials cost $360, see 76,eee 5e, see $486,000 Hint Print 1. Determine the predetermined overhead rate for 2017. 2&3. Enter the overhead costs incurred and the amounts applied during the year using the predetermined overhead rate and determine whether overhead is overapplied or underapplied. 4. Prepare the adjusting entry to allocate any over- or underapplied overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 and 3 Reg 4 Determine the predetermined overhead rate for 2017. Overhead Rate 1 Choose Denominator: Choose Numerator Overhead Rate Overhead rate = = Reg 1 Reg 2 and 3 >