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Part of the practice exercises for finals, help appreciated since this is extremely complicated for me AT&T Manufacturing presents two direct costs: Direct Material and

Part of the practice exercises for finals, help appreciated since this is extremely complicated for me

AT&T Manufacturing presents two direct costs: Direct Material and Direct Labor and a Pool of Indirect Costs. The distribution base of these indirect costs is 175% of Direct Labor. The following transactions for the year 2021 are as follows.

A) Direct materials purchased on credit $3,200.

B) Direct materials used in production $2,840.

C) Indirect materials allocated to "Jobs" $400.

D) Direct labor $5,200.

E) Indirect labor $3,600.

F) Depreciation of manufacturing equipment $1,600.

G) Other manufacturing expenses $2,200.

H) Distributed manufacturing costs - 175% of direct labor.

I) Cost of manufactured goods $16,800.

J) Credit income $34,000.

K) Cost of goods sold $16,200.

L) Inventories as of 12/31/2015 Material - control $400 Work in process - control $240 Finished goods - control $2,000

Required: 1. Prepare the cost flow chart properly identified and detailed. 2. Jornalize the transactions described above. The under/over allocation of the overhead close against cost of goods sold. 3. Prepare the T-accounts for the following accounts only: Direct Material - Control; Work in Process - Control; Finished Goods - Control; Cost of Goods Sold; Manufacturing Overhead - Control; Manufacturing Overhead - Control; Manufacturing Overhead - Allocated; and Manufacturing Overhead - Allocated.

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