Required information

[The following information applies to the questions displayed below.]

The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system.

	April 30				May 31
Inventories
Raw materials	$	32,000			$	58,000
Work in process		9,100				19,100
Finished goods		65,000				33,200
Activities and information for May
Raw materials purchases (paid with cash)						196,000
Factory payroll (paid with cash)						100,000
Factory overhead
Indirect materials						18,000
Indirect labor						23,000
Other overhead costs						119,500
Sales (received in cash)						1,800,000
Predetermined overhead rate based on direct labor cost						55	%

Compute the following amounts for the month of May using T-accounts.

1. Cost of direct materials used.
2. Cost of direct labor used.
3. Cost of goods manufactured.
4. Cost of goods sold.*
5. Gross profit.
6. Overapplied or underapplied overhead.

*Do not consider any underapplied or overapplied overhead.

Raw Materials (RM)					Work in Process (WIP)
April 30			Indirect materials		April 30			Cost of goods manuf.
RM purchases			DM used		DM used
					DL used
					Overhead applied
May 31					May 31
Finished Goods (FG) Inventory					Factory Overhead
April 30			Cost of goods solds		Indirect materials			Overhead applied
Cost of goods manuf.					Indirect labor
					Other overhead costs
May 31
					Underapplied OH

Income statement (partial)
Sales
Cost of goods sold
Gross profit	_____