Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

If you could post the work done with the answers, that would be very much appreciated. Thank you! LilPete makes and sells plans. The manufacturing

image text in transcribed

If you could post the work done with the answers, that would be very much appreciated. Thank you!

LilPete makes and sells plans. The manufacturing process has two stages: Fabricating and Packaging. The plans are fabricated in one building and then transferred to the Packaging shed to be finished. When the packaging is completed, the plans are transferred to the finished plan showroom. Manufacturing Overhead is applied to the Fabricating area based on DL Hours incurred in the Fabricating area. Expected Fabricating DL Hours for January 2020 - 600 DL Hours Expected Fabricating Overhead - $24,000 Manufacturing Overhead is applied to the Packaging area based on DL Hours incurred in the Packaging area. Expected Packaging DL Hours for January 2020 250 DL Hours Expected Packaging Overhead - $5,100 Beginning and ending inventory balances for January: 1/1/20 1/31/20 Materials Inventory $6,000 4,000 Fabricating WIP $3,000 4,000 Packaging WIP $4,000 3,000 Finished Plans Inventory $4,000 3,000 During January of 2020: LilPete purchased $30,000 of Materials Incurred $11,550 of Direct Labor (525 DL Hours @ $22 per DL Hour) in the Fabricating area Incurred $5,130 of Direct Labor (190 DL Hours @ $27 per DL Hour) in the Packaging area Incurred Manufacturing Overhead in the Fabricating area totaling $20,000 Incurred Manufacturing Overhead in the Packaging area totaling $5,600 Required: What is Cost of Goods Manufactured for January 2020? What is Cost of Goods Sold for January 2020 before closing any over/under applied overhead to COGS? What is COGS if any over/under applied overhead is closed to COGS? What is LilPete's January gross profit if they sold the finished plans for $150,000

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: 3

blur-text-image

Ace Your Homework with AI

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

Get Started

Recommended Textbook for

Glencoe Accounting Concepts Procedures Applicatons

Authors: McGraw-Hill Education

3rd Edition

0028036174, 978-0028036175

More Books

Students also viewed these Accounting questions

Question

What is meant by formal organisation ?

Answered: 1 week ago

Question

What is meant by staff authority ?

Answered: 1 week ago

Question

Discuss the various types of policies ?

Answered: 1 week ago

Question

Briefly explain the various types of leadership ?

Answered: 1 week ago

Question

=+analysis, and social media communication audit

Answered: 1 week ago