Question
SCPC Corp. designs and manufactures mascot uniforms for high school, college, and professional sports teams. Since each teams uniform is unique in color and design,
SCPC Corp. designs and manufactures mascot uniforms for high school, college, and professional sports teams. Since each teams uniform is unique in color and design, Waterway uses a job order costing system. On January 1, the T-accounts for some of Waterways primary balance sheet accounts were as follows:
Raw Materials Inventory | Work in Process Inventory | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1/1 | 59,900 | 1/1 | 24,000 | |||||||||||
Finished Goods | Cash | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1/1 | 38,600 | 1/1 | 35,200 | |||||||||||
Accounts Receivable | Accounts Payable | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1/1 | 47,300 | 1/1 | 41,900 | |||||||||||
During the year, the following events occurred:
1. | Waterway purchased raw materials costing $117,000 on account. |
2. | Waterway used $149,300 of raw materials in production. Of these, 80% were classified as direct materials and 20% as indirect materials. (Waterway maintains a single Raw Materials Inventory account.) |
3. | Waterway used 31,100 hours of direct labor. The companys average direct labor rate was $14 per hour (credit Wages Payable). |
4. | The companys indirect labor cost was $168,000 (credit Wages Payable). |
5. | Other manufacturing overhead costs the company incurred on account totaled $94,400. |
6. | Waterway applied $316,800 in manufacturing overhead. |
7. | The company completed production of goods costing $885,500. |
8. | The companys Cost of Goods Sold balance was $891,900 before adjusting for over- or underapplied overhead. |
9. | Sales revenue was $1,060,000 (all sales were made on account). |
10. | Waterway collected $803,200 from customers. |
11. | The company paid accounts payable of $201,300. |
12. | At year-end, all wages earned during the year had been paid. |
Assuming that Waterway prorates under- or overapplied overhead to the appropriate accounts, calculate the adjusted Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold balances for the year. (Round % of total to 3 decimal places, e.g. 1.235, allocation and final answers to 0 decimal places, e.g. 52.)
Adjusted Balance | ||
---|---|---|
Work In Process | ||
Finished Goods | ||
Cost of Goods Sold |
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