Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hudson Company uses a job-order costing system. The following transactions took place last year: a. Raw materials were requisitioned for use in production, $38,500 (70%

Hudson Company uses a job-order costing system. The following transactions took place last year: a. Raw materials were requisitioned for use in production, $38,500 (70% direct and 30% indirect). b. Factory utility costs incurred, $19,210. c. Depreciation was recorded on plant and equipment, $36,300. Three-fourths of the depreciation related to factory equipment, and the remainder related to selling and administrative equipment. d. Advertising expense incurred, $47,000. e. Costs for salaries and wages were incurred as follows: Direct labor $ 46,300 Indirect labor $ 10,110 Administrative salaries $ 29,100 -------------------------------------------------------------------------------- f. Insurance costs, $3,040 (85% related to factory operations, and 15% related to selling and administrative activities). g. Miscellaneous selling and administrative expenses incurred, $9,480. h. Manufacturing overhead was applied to production. The company applies overhead on the basis of $7.60 per machine-hour; 7,470 machine-hours were recorded for the year. i. Goods that cost $138,800 to manufacture according to their job cost sheets were transferred to the finished goods warehouse. j. Sales for the year totaled $250,700. The total cost to manufacture these goods according to their job cost sheets was $129,600. Requirement 1: Determine the underapplied or overapplied overhead for the year. (Input all amounts as positive values. Omit the "$" sign in your response.) this is underapplied but don't know by what Overhead (Click to select)overappliedunderapplied $ Requirement 2: Prepare an income statement for the year. (Hint: No calculations are required to determine the cost of goods sold before any adjustment for underapplied or overapplied overhead.) (Input all amounts as positive values. Omit the "$" sign in your response.) Hudson Company Income Statement For the Year Ended December 31 (Click to select)SalesMiscellaneous expenseDepreciation expenseAdministrative salaries expenseInsurance expenseAdvertising expenseSales commissions expense the first is Sales which is $ 250700 (Click to select)Sales commissions expenseInsurance expenseDepreciation expenseAdvertising expenseAdministrative salaries expenseMiscellaneous expense Cost of goods sold would be this one but can't figure out? (Click to select)Gross lossGross profit Selling and administrative expenses: (Click to select)SalesMiscellaneous expenseAdvertising expenseSales commissions expenseInsurance expenseDepreciation expenseAdministrative salaries expense $Administrative salaries which is (Click to select)Miscellaneous expenseAdvertising expenseSalesInsurance expenseDepreciation expenseAdministrative salaries expenseSales commissions expense (Click to select)Depreciation expenseInsurance expenseAdministrative salaries expenseSales commissions expenseAdvertising expenseMiscellaneous expenseSales (Click to select)Miscellaneous expenseDepreciation expenseSales commissions expenseAdministrative salaries expenseInsurance expenseAdvertising expenseSales (Click to select)Depreciation expenseInsurance expenseAdvertising expenseSales commissions expenseMiscellaneous expenseAdministrative salaries expenseSales (Click to select)Net operating lossNet operating income $ The Answers that I need is on requirement 1 the under applied and I also need The cost of goods sold for requirement 2 as well as the gross profit other than that I have everything else Thanks a lot for your help

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_step_2

Step: 3

blur-text-image_step3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

T F Case studies have been conducted on dead people. (p. 29)

Answered: 1 week ago

Question

How do books become world of wonder?

Answered: 1 week ago

Question

Persuading Your Audience Strategies for

Answered: 1 week ago