Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Amanda Corporation makes two kinds of boat hulls: regular and deluxe. The following data are available. Regular Deluxe Opening WIP inventory $280,000 $147,500 RM used

Amanda Corporation makes two kinds of boat hulls: regular and deluxe. The following data are available.

Regular Deluxe
Opening WIP inventory $280,000 $147,500
RM used 690,000 545,000
Direct labor consumed 985,000 1,342,600
Cost of goods manufactured 2,250,000 2,346,900

Amanda expected to spend $1,358,500 on manufacturing overhead during the year. This overhead is allocated to products at the rate of 105% of raw materials cost. What is the value of the ending WIP account for the regular hulls, prior to disposition of any under or over applied overhead?

Delta applies overhead to production using direct manufacturing labor costs as the allocation basis. Job No. 5, the only job still in process on April 30, 2012, has been charged with direct manufacturing labor of $2,000.

Requirement: Compute the amount of direct materials charged to Job No. 5.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing And Assurance Services

Authors: Alvin Arens, Randal Elder, Mark Beasley

14th Edition

1256560812, 9781256560814

More Books

Students also viewed these Accounting questions