Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following is a manufacturing cost report of Marching Ants Inc. Marching Ants Inc. Manufacturing Costs For the Quarter Ended June 30 Materials used

The following is a manufacturing cost report of Marching Ants Inc. Marching Ants Inc. Manufacturing Costs For the Quarter Ended June 30 Materials used in production (including $52,600 of indirect materials) Direct labor (including $78,800 maintenance salaries) Factory overhead: Supervisor salaries-plant Heat, light, and power-plant Sales salaries Promotional expenses Insurance and property taxes-plant Insurance and property taxes-corporate offices Depreciation-plant and equipment Depreciation-corporate offices $567,600 525,600 483,600 131,400 325,900 294,300 141,900 205,000 115,600 84,100 $2,875,000 Total a. 1. Select the correct sentence for errors in the preceding report. 1. The maintenance salaries of $78,800 and indirect materials of $52,600 should be included as factory overhead. 2. The indirect materials of $52,600 should be included as factory overhead. 3. The maintenance salaries of $78,800 should be included as factory overhead. 4. Half of the maintenance salaries of $78,800 and Indirect materials of $52,600 should be included as factory overhead. a. 2. Select the correct sentence for errors in the preceding report. 1. Sales salaries, promotional expenses, corporate office insurance and property taxes, and corporate office depreciation should not be included in factory overhead. 2. Promotional expenses, corporate office insurance and property taxes, and corporate office depreciation should not be included in factory overhead. 3. Sales salaries, promotional expenses, corporate office insurance and property taxes should not be included in factory overhead. 4. Half of sales salaries, promotional expenses, corporate office insurance and property taxes, and corporate office depreciation should not be included in factory overhead. b. Prepare a corrected report. Marching Ants Inc. Manufacturing Costs For the Quarter Ended June 30 Factory overhead: Total Total factory overhead 69 00

Step by Step Solution

3.38 Rating (151 Votes )

There are 3 Steps involved in it

Step: 1

a 1 The correct sentence is The indirect materials of 52600 should be included as factory overhead I... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

14th edition

1337270598, 978-1337270595

More Books

Students also viewed these Accounting questions

Question

How is use of the word consistent helpful in fraud reports?

Answered: 1 week ago