Compute the costs of products transferred from production to finished goods and cost of goods sold

Sierra Company manufactures woven blankets and accounts for product costs using process costing. Data below are for its processing departments The following information is available regarding its May inventories Beginning Ending Raw materials inventory Work in process inventory Finished goods inventory Inventory Inventory S 65,000 $ 87,0e9 427,500531,ee 612,000 551,0ee The folowing additional Information describes the company's production actvities for May Raw materials purchases (on credit) Factory wages cost (paid in cash) Other overhead cost (Other Accounts credited) Materials used 280,000 1,590,000 52,000 Direct Indirect 3 180,000 8,000 Labor used Direct Indirect 5 800,00o 790,008 overhead rate as a percent of direct labor Sahes (on eredst) 115% $4,500,000 The predetermined overhea d rate was computed at the beginning of the year as 115% of direct labor cost es Payable Finished Goods (FG) Factory Overhead Income Statement (Partial) Cost of goods transferred Cost of goods sold Prey fl Next > 61 of 61ll Next > 5