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	33,100	July 31	Requisitions	(A)
July 31	Purchases	132,900

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	123,800

Factory Overhead
July 1	Balance	21,800	July 31	Factory overhead applied	(E)
July 31	Indirect labor	(H)
July 31	Indirect materials	17,700
July 31	Other overhead	87,600

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	200			$21,600				$15,000
No. 22		X-20	410			35,950				26,000
No. 23		X-50	170			13,100				7,000
No. 24		T-20	310			40,630				30,000
No. 25		X-40	180			21,580				17,000
No. 26		T-10	120			8,480				4,000
		Total	1,390			$141,340				$99,000

Factory overhead is applied to each job at a rate of 150% 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	$5,900
Job 22	X-20	15,900
Total		$21,800

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	160
No. 22	X-20	X	328
No. 23	X-50		0
No. 24	T-20	X	260
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		$ 5,900		$ 21,600		$ 15,000		$		$		$				$
No. 22		15,900		35,950		26,000
No. 23				13,100		7,000
No. 24				40,630		30,000
No. 25				21,580		17,000
No. 26				8,480		4,000
Total		$21,800		141,340		99,000		$		$						$

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:	$