Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

IY Corporation manutactures miscellaneous parts tor building construction and maintenance. IY uses a normal job costing system. The system applies manufacturing overhead on the basis

image text in transcribed

IY Corporation manutactures miscellaneous parts tor building construction and maintenance. IY uses a normal job costing system. The system applies manufacturing overhead on the basis of direct labor cost. For managerial purposes, over- or underapplied overhead is written off to Cost of Goods Sold monthly. IYF hires interns to work in its Plant Accounting department and, as a part of its interview process, asks candidates to take a short quiz. Ynl are riven the followinc inrnal entriec for lne (Ascme that entries are made only once each month.) a This entry does not include any over- or underapplied overhead. Over- or underapplied overhead is written off to Cost of Goods Sold once for the month. For June, the amount written off was 6 percent of overhead applied for June. The Work-in-Process ending account balance on June 30 was twice the beginning balance. The Direct Material Ending Inventory balance on June 30 was $6,830 less than the beginning balance. The Finished Goods ending balance on June 30 was $3,180. The June income statement shows Cost of Goods Sold of $45,548. Required: a. What was the Finished Goods beginning inventory on June 1? b. How much manufacturing overhead was applied for June? c. Overhead is applied on the basis of direct labor costs. What was the manufacturing overhead rate for June? d. How much manufacturing overhead was incurred for June

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

Provider Audit In England Evaluating Medical Audit

Authors: James Buttery, Yvette; Walshe, Kieran; Rumsey, Moira; Amess, Moyra; Bennett, Jennifer & Coles

1st Edition

1898845034, 978-1898845034

More Books

Students also viewed these Accounting questions

Question

Is the agency problem an ethical issue or an economic issue?

Answered: 1 week ago