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kindly assist me and Show ALL working and put the formula if any is used . also can you label the workings accordingly Please show
kindly assist me and Show ALL working and put the formula if any is used . also can you label the workings accordingly
Please show all workings I) Joseph Underwood joined Anderson Enterprises a coller in October 2016. Anderson Enterprises manufactures and installs home greenhouses. The company was a normal conting system with two direct cost pools, direct materials and directing laber, and we indirect-cost pool, manufacturing overhead. In 2016, mamfacturing overhead was allocated to Jobs at 150% of direct manufacturing labor cost. At the end of 2016, an immaterial amount of underallocated overhead was closed out to cost of poods sold, sad the company showed a small loss Underwood is cager to impress his new employer, and he knows that in 2017, Anderson's upper management is under pressure to show a profit is challenging competitive environment because they are hoping to be acquired by a large private equity firm sometime in 2018. At the end of 2016, Underwood decides to adjust the manufacturing overhead rate to 160 of direct labor cost. He explains to the company president that because overhead was under located in 2016 this adjustment is necessary. Cost information for 2017 follows Direct materials control 1/2017 2.000 Direct material purchased 2013 Direct materials added to production 2017 Work in processor2017 Direct manating labor 2017 300.00 Cost of goods mendactured. 2007 2.300.000 Finished good control 112017 Finished good control 1201/2017 Manufacturing 2017 Anderson's revenue for 2017 was 85,550,000, and the company's selling and administrative expenses were 52,720,000 Required: 1. Insert the given information in the T-accounts below (10 marks) Calculate the following amounts to complete the T-account a. Direct materials control, 12/31/2017 (5 marks) b. Manufacturing overhead allocated: 2017 (3 marks) c. Cost of goods sold, 2017 (20 marks) Duel Materials Custral Wat=haa Mandarin Chantel Medio Allocated and all 2. Calculate the amount of under or overallocated manufacturing evad. (5 marks) 3. Calculate Anderson's net operating income under the following a. Under or overallocated manufacturing overhead is written off to cost of goods sold. Undet or overallocated manufacturing overhead is proud based on the ending balances in work in process, finished goods, and cost of goods sold. (20 marks) 4. Underwood choses option 3a above, stating that the mista. Comment on the ethical implications of his choice. Do you think that there were anythical issues when he established the manufacturing overhead rate for 2017 back in late 2016 Refer to the IMA Statement of Ethical Professional Practice 15 marks) Total marks Step by Step Solution
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