Required information Use the following information to answer questions [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 $ $40,000 9,200 63,000 46,000 18,300 33,200 Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 179,000 250,000 10,000 57,500 116,000 1,500,000 55% Exercise 15-7 Cost flows in a job order costing system LO P1, P2, P3, P4 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. Work in Process (WIP) Raw Materials (RM) 40,000 April 30 April 30 RM purchases 179.000 10,000 Indirect materials DM used May 31 209,000 May 31 Finished Goods (FG) Inventory Factory Overhead April 30 May 31 0 0 Income statement (partial) Sales $ 1,500,000 Cost of goods sold Gross profit $ 1,500,000 Required information Use the following information to answer questions [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 $ $40,000 9,200 63,000 46,000 18,300 33,200 Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 179,000 250,000 10,000 57,500 116,000 1,500,000 55% Exercise 15-7 Cost flows in a job order costing system LO P1, P2, P3, P4 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. Work in Process (WIP) Raw Materials (RM) 40,000 April 30 April 30 RM purchases 179.000 10,000 Indirect materials DM used May 31 209,000 May 31 Finished Goods (FG) Inventory Factory Overhead April 30 May 31 0 0 Income statement (partial) Sales $ 1,500,000 Cost of goods sold Gross profit $ 1,500,000