Question
At the end of 2019, Alonzo Companys manufacturing inventory and expense accounts held the following costs. Work in Process Inventory Finished Goods Inventory Cost of
At the end of 2019, Alonzo Companys manufacturing inventory and expense accounts held the following costs.
| Work in Process Inventory | Finished Goods Inventory | Cost of Goods Sold |
Direct Materials | P120,000 | P190,000 | P350,000 |
Direct Labor | P100,000 | P250,000 | P580,000 |
Factory Overhead | P60,000 | P300,000 | P480,000 |
Alonzos accountant applied overhead during the year using a budgeted rate of P8.40 per hour. At year end, they computed the actual rate of P10.00 per machine hour. The beginning balances of both work in process inventory and finished goods inventory were zero.
Over/underapplied overhead are to be allocated to appropriate inventories
how much is the Adjusted Finished Goods inventory?
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