Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Lamonda Corp. uses a job order cost system. On April 1 , the accounts had balances as shown in the T - accounts below: The

Lamonda Corp. uses a job order cost system. On April 1, the accounts had balances as shown in the T-accounts below:
The following transactions occurred during April:
(a) Purchased materials on account at a cost of $233,570.
(b) Requisitioned materials at a cost of $111,900, of which $15,600 was for general factory use.
(c) Recorded factory labor of $223,900, of which $41,975 was indirect.
(d) Incurred other costs:
Selling expense $ 35,500
Factory utilities 24,400
Administrative expenses 50,250
Factory rent 10,400
Factory depreciation 19,500
(e) Applied overhead at a rate equal to 143 percent of direct labor cost.
(f) Completed jobs costing $262,750.
(g) Sold jobs costing $323,170.
(h) Recorded sales revenue of $504,000.
Required:
1. & 2. Post the April transactions to the T-accounts and compute the balance in the accounts at the end of April. (Post each transaction (d) cost separately. Round your answers to 2 decimal places.)
3-a. Compute over- or underapplied manufacturing overhead. (Round your answer to 2 decimal places.)
3-b. If the balance in the Manufacturing Overhead account is closed directly to Cost of Goods Sold, will Cost of Goods Sold increase or decrease?
4. Prepare Lamondas cost of goods manufactured report for April. (Round your answers to 2 decimal places.)
5. Prepare Lamondas April income statement. Include any adjustment to Cost of Goods Sold needed to dispose of over- or underapplied manufacturing overhead. (Round your answers to 2 decimal places.)
Prev Question 1 of 1 Total 1 of 1 Visit question mapThis is the last question in the assignment. To submit, use Alt + S. To access other questions, proceed to the question map button. In a graph table

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

Accounting A Smart Approach

Authors: Mary Carey, Jane Towers Clark, Cathy Knowles

1st Edition

0199587418, 978-0199587414

More Books

Students also viewed these Accounting questions

Question

How satisfied are you with this attitude?

Answered: 1 week ago

Question

Where is your key public located geographically?

Answered: 1 week ago

Question

What is the socioeconomic status of your key public?

Answered: 1 week ago