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Could you tell me please how did they get $81,000 for the Direct Labor in the Work-in-Process Control T account? Beginning Balance 12/1 1,400 6,000
Could you tell me please how did they get $81,000 for the Direct Labor in the Work-in-Process Control T account?
Beginning Balance 12/1 1,400 6,000 $ Ending Balance 12/30 $ 7,800 8,300 Materials Control Work-in-Process Control Manufacturing Department Overhead Control Finished Goods Control 0 92,000 18,700 3,700 a. b. Additional information follows: Direct materials purchased during December were $65,600. Cost of goods manufactured for December was $227,000. c. No direct materials were returned to suppliers. d. No units were started or completed on December 31 and no direct materials were requisitioned on December 31. The manufacturing labor costs for the December 31 working day: direct manufacturing labor, $3,950, and indirect manufacturing labor, $1,050. f. Manufacturing overhead has been allocated at 110% of direct manufacturing labor costs through December 31. Brandon Company uses normal costing in its job-costing system. The company produces custom bikes for toddlers. The beginning balances (December 1) and ending balances (as of December 30) in their inventary accounts are as follows: EE (Click the icon to view the data.) Click the icon to view the additional information.) Read the requirements. For direct labor and manufacturing overhead in the Work-in-Process account, enter the amounts for 12/30 and 12/31 separately to get the correct ending balance for each date. (Abbreviation used: MOH = Manufacturing overhead; Materials req. = Materials requisitioned; COGM = Cost goods manufactured; COGS = Cost of goods sold.) Materials Control Work-in-Process Control 12/1 Bal 12/1 Bal. 1,400 65,600 Purchases Materials req. 59,200 Direct labor COGM 227,000 6,000 81,000 59,200 89,100 Materials req. MOH allocated 12/31 Bal. 7,800 12/31 Bal. 12/30 Bal. 8,300 12/30 Bal. Direct labor 3,950 Finished Goods Control MOH allocated 4,345 12/1 Bal. 3,700 12/31 Bal. 16,595 12/31 BalStep by Step Solution
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