Question
Haggle Company is a manufacturing firm that uses job order costing system. On January 1, the beginning of its fiscal year, the company's inventory balances
Haggle Company is a manufacturing firm that uses job order costing system. On January 1, the beginning of its fiscal year, the company's inventory balances were as follows: Raw materials P20,000 Work in process P15,000 Finished Goods P30,000 The following transactions were recorded for the year: 1. Raw materials were purchased on account, P410,000. 2. Raw materials were requisitioned for use in production, P380,000 (P360,000 direct materials and P20,000 indirect materials). 3. The following costs were incurred for employee services: direct labor, P75,000; indirect labor, P110,000; sales commission, P90,000; and administrative salaries, P20,000. 4. Sales travel costs were P17,000. 5. Utility costs in the factory were P43,000. 6. Advertising costs were P180,000. 7. Depreciation was recorded for the year,P350,000 (80% relates to factory operations, and 20% relates to selling and administrative activities). 8. Insurance expired during the year, P10,000 (70% relates to factory operations, and 30% relates to selling and administrative activities). 9. Manufacturing overhead was charged to production. 10. Goods costing P900,000 were completed during the year. 11. Goods were sold on account to customers during the year at a total selling price of P1,500,000. The goods cost P870,000 to manufacture according to their job cost sheets. What is the ending work in process inventory? What is the ending finished goods inventory? Based on the given information, what is the Materials inventory balance at the end of the period? Based on the given information, what is the total period cost? The total manufacturing cost during the period is:
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