Steps for

Compute a predetermined overhead rate.

Prepare schedules of cost of goods manufactured and cost of goods sold.

Use the data to answer the following.

Compute applied overhead and determine the amount of underapplied or overapplied overhead:

$22$

$23$

$24$

$25$

$26$

$27$

$28$

Actual manufacturing overhead cost

Predetermined overhead rate

Actual direct labor hours

Manufacturing overhead applied

D

E

F

G

H

$19$ Use the data to answer the following.

$20$

$21$

$22$

$23$

$24$

$\backslash$table$[[26],[27],[28],[29]]$

$29$

$30$

$31$

$32$

Underapplied $($overapplied$)$ manufacturing overhead

$2.$ Prepare a schedule of cost of goods manufactured:

$33$

$34$

$35$

$36$

$37$

$38$

$39$

Direct labor

Direct materials:

Raw materials inventory, beginning

Stanford Enterprises

Add: Purchases of raw materials

Total raw materials available

Deduct: Raw materials inventory, ending

Raw materials used in production

$40$

Manufacturing overhead applied to work in process

$41$ Total manufacturing costs

$42$ Add: Beginning work in process inventory

Sheet$1$

READY

$100\%$

lation

$1$

VUIIIIdI

Preview

Layout

Custu.

Gridlines

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Headings

Workbook Views

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$$

$$

A

B

C

D

E

F

G

H

$6$ Total raw materials available

$7$ Deduct: Raw materials inventory, ending

$8$

Raw materials used in production

$9$ Direct labor

$0$ Manufacturing overhead applied to work in process

$1$ Total manufacturing costs

$2$ Add: Beginning work in process inventory

$3$ Total cost of work in process

$4$ Deduct: Ending work in process inventory

Cost of goods manufactured

$3.$ Prepare a schedule of cost of goods sold.

Stanford Enterprises

Schedule of Cost of Goods Sold

Finished goods inventory, beginning

Add: Cost of goods manufactured

Cost of goods available for sale

Deduct: Finished goods inventory, ending

Unadjusted cost of goods sold

Underapplied $($overapplied$)$ overhead

Adjusted cost of goods sold

Sheet$1$

$100\%$

EADY

Hint

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Excel SIM: Cost of Goods Manufactured and Cost of Goods Sold

Compute a predetermined overhead rate.

Prepare schedules of cost of goods manufactured and cost of goods sold.

lation

$1$

VUIIIIdI

Preview

Layout

Cuscul

Gridlines

Headings

Workbook Views

Show

C

D

E

F

G

H

A

B

Total raw materials available

Deduct: Raw materials inventory, ending

Raw materials used in production

Direct labor

Manufacturing overhead applied to work in process

Total manufacturing costs

Add: Beginning work in process inventory

Total cost of work in process

Deduct: Ending work in process inventory

Cost of goods manufactured

$3.$ Prepare a schedule of cost of goods sold.

Stanford Enterprises

Schedule of Cost of Goods Sold

Finished goods inventory, beginning

Add: Cost of goods manufactured

Cost of goods available for sale

Deduct: Finished goods inventory, ending

Unadjusted cost of goods sold

Underapplied $($overapplied$)$ overhead

Adjusted cost of goods sold

Sheet$1$

$100\%$

EADY

Hint

Show Me