Question
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
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 30May 31InventoriesRaw materials$38,000$53,000Work in process9,50018,300Finished goods59,00034,300Activities and information for MayRaw materials purchases (paid with cash)188,000Factory payroll (paid with cash)200,000Factory overheadIndirect materials17,000Indirect labor46,000Other overhead costs110,000Sales (received in cash)1,600,000Predetermined overhead rate based on direct labor cost55%
Compute thefollowing amounts for the month of May using T-accounts.
- Cost of direct materials used.
- Cost of direct labor used.
- Cost of goods manufactured.
- Cost of goods sold.*
- Gross profit.
- Overapplied or underapplied overhead.
*Do not consider any underapplied or overapplied overhead.
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