Summit Company provide the cost data for the month of January Inventories: January 1 January 31 Direct
Question:
Summit Company provide the cost data for the month of January
Inventories: | January 1 | January 31 |
Direct materials | P80, 000 | P40, 000 |
WIP | P65, 000 | P100, 000 |
Finished Goods | P65, 000 | P50, 000 |
Factory overhead applied P180, 000 Cost of goods manufactured P655, 000 Direct materials used P190, 000 Actual FOH P168, 000
1. How much is the adjusted WIP after absorbing share of allocation from overhead variance (allocated to appropriate inventories) Round of the computed share on allocation to whole number
2. How much is the share allocated to Finished goods inventory in absorbing the overhead variance (allocated to appropriate inventories) Round of the computed share on allocation to whole number
3. Adjusted COGS if under or -applied overhead were allocated to inventories and COGS. Round of the computed share on allocation to whole number
4. Adjusted COGS if under or over-applied overhead were closed to COGS
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Cornerstones of Managerial Accounting
ISBN: 978-0176530884
2nd Canadian edition
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman