Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Calculate Betty's: A) Work In Process Inventory Balance at December 31, 2020 B) Finished goods inventory balance at December 31, 2020 . C) gross profit
Calculate Betty's:
A) Work In Process Inventory Balance at December 31, 2020
B) Finished goods inventory balance at December 31, 2020.
C) gross profit reported in Betty DeRose's income statement for 2020.
At January 1, 2020, Betty DeRose, Inc. reported work in process totaling $18,670. This balance was made up of three jobs having the following costs: Job #171 $4,390 Job #236 $6,370 Job #412 $7,910 total cost at Jan. 1, 2020 ..... During 2020, Betty DeRose reported the following transactions: a. Direct materials used were: Job #171, $6,700; Job #236, $4,100; and Job #412, $3,900. b. Direct labor incurred was: Job #171, $5,000; Job #236, $2,800; and Job #412, $3,000. c. Overhead was applied to jobs at a rate of 85% of direct materials used. d. Job #171, which consisted of 100 units, was completed and transferred to the finished goods warehouse. e. Job #412, which consisted of 250 units, was completed and transferred to the finished goods warehouse. f. 40 units from Job #171 were sold and shipped to the customer; the 40 units were sold at a total selling price of $12,000. g. The actual overhead cost incurred during 2020 amounted to $10,000Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started