Answered step by step
Verified Expert Solution
Question
...
1 Approved Answer
Consider the following information for the questions below. Stanger Inc., uses a job-order cost system. The company uses normal costing and closes under- or overapplied
Consider the following information for the questions below. Stanger Inc., uses a job-order cost system. The company uses normal costing and closes under- or overapplied overhead to cost of goods sold at the end of the year. The following information is available from Stanger's general ledger. Adjusting entries to close underapplied overhead have not been made. Direct Materials Inventory, beginning of the year $ 5,500 Direct Materials Inventory, end of the year 3,000 Direct Materials, purchased during the year 45,000 work-in-Process Inventory, beginning of the year 9,000 Manufacturing Overhead, applied during the year 20,000 Work-in-process Inventory, end of the year 14,000 Finished Goods Inventory, beginning of the year 7,500 Finished Goods Inventory, end of the year 5,000 Cost of Goods Sold, during the year 75,000 Underapplied Manufacturing Overhead 2,000 Predetermined overhead rate - 200% of direct labor cost 3) Refer to the above information. Calculate the amount of direct materials used during the year. A. $36,500 B. $42,500 $47,500 D. $48,000 E. $53,500 4) Refer to the above information. What was the actual manufacturing overhead incurred during the year? A. $24,000 B. $22.000 $20,000 D. $18,000 E. $16,000
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/07/669deccbeed12_803669deccb7aaf3.jpg)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started