7-25

Partially completed T-accounts and additional information for Cardinals, Inc., for the month of November appear as follows.

Materials Inventory
BB (11/1)	35,000
	125,000	94,000

Work-In-Process Inventory
BB (11/1)	65,000
Labor	96,000

Finished Goods Inventory
BB (11/1)	85,000
	185,000	125,000

Cost of Goods Sold

Manufacturing Overhead Control
	83,000

Applied Manufacturing Overhead

Additional information for November follows:

• Labor wage rate was $40 per hour.
• Manufacturing overhead is applied at $30 per direct labor-hour.
• During the month, sales revenue was $295,000, and selling and administrative costs were $53,000.
• This company has no indirect materials or supplies.

Required:

a. What cost amount of direct materials was issued to production during November?

b. How much manufacturing overhead was applied to products during November?

c. What was the cost of products completed during November?

d. What was the balance of the Work-in-Process Inventory account at the end of November?

e. What was the over- or underapplied manufacturing overhead for November?

f. What was the operating profit (loss) for November? Any over- or underapplied overhead is written off to Cost of Goods Sold.