Bowen company manufactures one product, it does not maintain any beginning or ending inventories, and it uses a standard cost system...

k-Chapter 10 ?e https:/ /connect html k Chapter 10 Help Save & Exi Bowen Company manufactures one product, it does not maintain any beginning or ending inventories, and its uses a standard cost system. Its predetermined overhead rate includes $1,000,000 of fixed overhead in the numerator and 50,000 direct labor-hours in the denominator. The company purchased (with cash) and used 40,000 yards of raw materials at a cost of $10.40 per yard. Its direct laborers worked 20,300 hours and were paid a total of $290,600. The company started and completed 8700 units of finished goods during the period. Bowen's standard cost card for its only product is as follows: Standard Quantity or Standard Price or Rate Standarod Cost Direct material Direct labor Fixed manufacturing overhead 3.6 yards $13.00 per yard 46.80 3.0 hours $14.00 per hour 42.00 60.00 $148.80 3.0 hours $20.00 per hour Total standard cost per unit Required: 1. When recording the raw material purchases: a. The Raw Materials inventory will increase (decrease) by how much? b. The Cash will increase (decrease) by how much? 2 When recording the raw materials used in production: a. The Raw Materials inventory will increase (decrease) by how much? b. The Work in Process inventory will increase (decrease) by how much? Prey 40f 5111 Next >