Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Is this answers are correct? Baab Corporation is a manufacturing firm that uses job-order costing. The company's inventory balances were as follows at the beginning
Is this answers are correct?
Baab Corporation is a manufacturing firm that uses job-order costing. The company's inventory balances were as follows at the beginning and end of the year: Beginning Ending Balance Balance 14,200 S 22,200 27,200 S 9200 62,200 77,200 Raw materials Work in process Finished Goods The company applies overhead to jobs using a predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that it would work 33,200 machine- hours and incur $245,680 in manufacturing overhead cost. The following transactions were recorded for the year: Raw materials were purchased, $315,200. Raw materials were requisitioned for use in production, $307,200 ($280,800 direct and $26,400 indirect). The following employee costs were incurred: direct labor, $377,200; indirect labor, $96,200; and administrative salaries, $172,200 Selling costs, $147,200. Factory utility costs, $10,200 Depreciation for the year was $139,000 of which $120,400 is related to factory operations and $18,600 is related to selling, general, and administrative activities. Manufacturing overhead was applied to jobs. The actual level of activity for the year was 34,040 machine-hours. Sales for the year totaled $1,261,000 Required: do not enter any commas and round to the ncarest dollar Compute Cost of Goods Manufactured Compute Operating Income $928 $(26000)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started