Analyzing Manufacturing Cost Accounts

Big Wave Company manufactures surf boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for July:

Materials
July 1	Balance	33,300	July 31	Requisitions	(A)
July 31	Purchases	134,000

Work in Process
July 1	Balance	(B)	July 31	Completed jobs	(F)
July 31	Materials	(C)
July 31	Direct labor	(D)
July 31	Factory overhead applied	(E)

Finished Goods
July 1	Balance	0	July 31	Cost of goods sold	(G)
July 31	Completed jobs	(F)

Wages Payable
			July 31	Wages incurred	113,800

Factory Overhead
July 1	Balance	21,000	July 31	Factory overhead applied	(E)
July 31	Indirect labor	(H)
July 31	Indirect materials	17,800
July 31	Other overhead	68,400

In addition, the following information is available:

Materials and direct labor were applied to six jobs in July:

Job No.		Style	Quantity		Direct Materials				Direct Labor
No. 21		X-10	170			$19,950				$12,000
No. 22		X-20	410			40,710				26,000
No. 23		X-50	200			15,600				8,000
No. 24		T-20	260			36,200				25,000
No. 25		X-40	180			23,460				17,000
No. 26		T-10	100			6,600				3,000
		Total	1,320			$142,520				$91,000

Factory overhead is applied to each job at a rate of 140% of direct labor cost.

The July 1 Work in Process balance consisted of two jobs, as follows:

Job No.	Style	Work in Process, July 1
Job 21	X-10	$4,800
Job 22	X-20	16,200
Total		$21,000

Customer jobs completed and units sold in July were as follows:

Job No.	Style	Completed in July	Units Sold in July
No. 21	X-10	X	136
No. 22	X-20	X	328
No. 23	X-50		0
No. 24	T-20	X	218
No. 25	X-40	X	149
No. 26	T-10		0

1. Determine the missing amounts associated with each letter and complete the following table. If required, round amounts to the nearest dollar. If an answer is zero, enter in "0". Enter all amounts as positive numbers.

Job No.	Quantity	July 1 Work in Process		Direct Materials		Direct Labor		Factory Overhead		Total Cost		Unit Cost		Units Sold	Cost of Goods Sold
No. 21		$ 4,800		$ 19,950		$ 12,000		$		$		$				$
No. 22		16,200		40,710		26,000
No. 23				15,600		8,000
No. 24				36,200		25,000
No. 25				23,460		17,000
No. 26				6,600		3,000
Total		$21,000		142,520		91,000		$		$						$

a. Materials Requisitions $

b. Work in Process Beginning Balance $

c. Direct Materials $

d. Direct Labor $

e. Factory overhead applied $

f. Completed jobs $

g. Cost of goods sold $

h. Indirect labor $

2. Determine the July 31 balances for each of the inventory accounts and factory overhead. Use the minus sign to indicate any credit balances.

Materials:	$
Work in Process:	$
Finished Goods:	$
Factory Overhead:	$