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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 Inventories
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 | ||||||
Inventories | |||||||
Raw materials | $ | 30,000 | $ | 36,000 | |||
Work in process | 9,800 | 19,400 | |||||
Finished goods | 51,000 | 34,800 | |||||
Activities and information for May | |||||||
Raw materials purchases (paid with cash) | 193,000 | ||||||
Factory payroll (paid with cash) | 150,000 | ||||||
Factory overhead | |||||||
Indirect materials | 7,000 | ||||||
Indirect labor | 34,500 | ||||||
Other overhead costs | 93,000 | ||||||
Sales (received in cash) | 1,100,000 | ||||||
Predetermined overhead rate based on direct labor cost | 55 | % | |||||
ompute the following 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.
Raw Materials (RM) Work in Process (WIP) Finished Goods (FG) Factory Overhead Income statement (partial) $ 0
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