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Gitano Products operates a job order costing system and apples overhead cost to jobs on the basis of direct materials used in production (not on

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Gitano Products operates a job order costing system and apples overhead cost to jobs on the basis of direct materials used in production (not on the basis of raw materials purchased). In computing a predetermined overhead rate at the beginning of the year the company's estimates were as follows manufacturing overhead cost $1020.000; direct materials to be used in production, $600,000. The company's inventory accounts at the beginning and end of the year were as follows: Raw Materials Work in Process Finished Goods Ending $ 75,000 $ 21,000 75,000 160,000 410,000 270,000 520 The following actual costs were incurred during the year: $500,000 Purchase of raw materials (all direct) Direct labour cost Manufacturing overhead costs Indirect Labour Property taxes Depreciation of equipment Maintenance Insurance Rent, building 180,000 49,000 270,000 96,000 8,000 190,000 Required: 1-o. Compute the predetermined overhead rate for the year. 160 % Prodetermined overhead tate oints 1-b. Compute the amount of under-or overapplied overhead for the year. 01:25:17 overhead is 2. Prepare a schedule of cost of goods manufactured for the year. 10 points GITANO PRODUCTS Schedule of Cost of Goods Manufactured Direct materials 01:25:02 Total raw materials available 0 Raw materials used in production $ Total manufacturing costs $ 0 S 0 Cost of goods manufactured S 0 3. Compute the cost of goods sold for the year. (Do not include any under or overapplied overhead in your cost of goods sold figure.) Cost of goods sold 4. Job 215 was started and completed during the year What price would have been charged to the customer if the job required $9,500 in direct materials and $3,700 in direct labour cost and the company priced its jobs at 20% above cost to manufacture? Price to custom 5. Direct materials made up $25.000 of the $160,000 ending work in process inventory balance. Compute the missing amounts Amount $ 25 000 Direct matas Ditect labour Manufacturing overhead Work in process inventory 5 100,000

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