E2-9 (Algo) Calculating Cost of Jobs [LO 2-4, 2-6] Manufacturing costs for Davenport Company during 2018 were as follows: $ Beginning Finished Goods, 1/1/18 Beginning Raw Materials, 1/1/18 Beginning Work in Process, 1/1/18 Direct Labor for 2018 Ending Finished Goods, 12/31/18 Ending Raw Materials, 12/31/18 Ending Work in Process, 12/31/18 Material Purchases for 2018 (including $22,500 of indirect material) 25,600 37,000 111,800 276,800 23,900 41,000 122,100 305, 700 Required: 1. Compute direct material used. 2. Compute applied overhead if the company applies overhead at a rate of 0.90 (90%) of direct labor cost. 3. Compute total manufacturing cost. 4. Compute cost of goods manufactured. 5. Compute cost of goods sold. 1. | Direct Material Used Applied Overhead Total Manufacturing Cost Cost of Goods Manufactured Cost of Goods Sold 4. 5. PA2-1 (Algo) Recording Manufacturing and Nonmanufacturing Costs, Preparing the Cost of Goods Manufactured Report and Income Statement [LO 2-3, 2-4, 2-5, 2-6) Lamonda Corp. uses a job order cost system. On April 1, the accounts had balances as shown in the T-accounts below: The following transactions occurred during April: (a) Purchased materials on account at a cost of $231,870. (b) Requisitioned materials at a cost of $111,800, of which $16,400 was for general factory use. (c) Recorded factory labor of $224,800, of which $42,275 was indirect. (d) Incurred other costs: Selling expense Factory utilities Administrative expenses Factory rent Factory depreciation $35,500 24,600 50,950 10, 600 19,700 le) Applied overhead at a rate equal to 125 percent of direct labor cost. in Completed jobs costing $262,750. (9) Sold jobs costing $322,770. (n) Recorded sales revenue of $520,000. Required: Required: 1. & 2. Post the April transactions to the T-accounts and compute the balance in the accounts at the end of April (Post each transaction (d) cost separately. Round your answers to 2 decimal places.) 3-a. Compute over- or underapplied manufacturing overhead. (Round your answer to 2 decimal places.) 3.b. If the balance in the Manufacturing Overhead account is closed directly to Cost of Goods Sold, will cost of Goods Sold increase or decrease? 4. Prepare Lamonda's cost of goods manufactured report for April. (Round your answers to 2 decimal places.) 5. Prepare Lamonda's April income statement. Include any adjustment to cost of Goods Sold needed to dispose of averor underapplied manufacturing overhead. (Round your answers to 2 decimal places.) Complete this question by entering your answers in the tabs below. Reg 1 and 2 Reg 3 Req3b Reg4 Rugs Post the April transactions to the T-accounts and compute the balance in the accounts at the end of April. (Post each transaction (d) cost separately. Round your answers to 2 decimal places.) Raw Materials Inventory 28,500.00 Work in Process Inventory 19,100.00 Beg Bal Beg Bal End Bal 28,500.00 End. Bal 19,100.00 Manufacturing Overhead Finished Goods Inventory 124,700.00 Beg Bal Beg Bal End. Bal 124,700.00 End. Bal 0.00 Cost of Goods Sold Sales Raven Beg Bal Beg Bal End Bal 0.00 End Bal 0.00 Nonmanufacturing Expenses Beg Bal End Bal 0.00 Raq 1 and 2 Req3a >
