Question
Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories:
Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories: Beginning Inventory Ending Inventory Raw materials inventory $ 184,000 $ 285,000 Work in process inventoryWeaving 315,000 485,000 Work in process inventorySewing 695,000 765,000 Finished goods inventory 1,326,000 1,356,000 The following additional information describes the companys manufacturing activities for June: Raw materials purchases (on credit) $ 605,000 Factory wages cost (paid in cash) 3,420,000 Other factory overhead cost (Other Accounts credited) 198,000 Materials used DirectWeaving $ 248,000 DirectSewing 81,000 Indirect 152,000 Labor used DirectWeaving $ 1,300,000 DirectSewing 470,000 Indirect 1,500,000 Overhead rates as a percent of direct labor Weaving 80 % Sewing 150 % Sales (on credit) $ 4,600,000 1. Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold.
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