Question
Use the data below to answer questions 08, 09 and 10. Garrison Enterprises produces custom shelving for businesses. Each job is unique. The company applies
Use the data below to answer questions 08, 09 and 10.
Garrison Enterprises produces custom shelving for businesses. Each job is unique. The company applies MFOH at 125% of direct labor cost. You have been provided selected information about the first three months of operations for calendar year 2018.
January 1 | December 31 |
| |||||||
| Direct materials | $ | 77,000 | $ | 40,000 |
| |||
| Work in process |
| 66,000 |
| 42,000 |
| |||
| Finished goods | $ | 115,000 |
| 100,000 |
| |||
| Other information |
|
|
|
|
| |||
| Direct materials purchases |
|
| $ | 324,000 |
| |||
| Cost of goods available for sale |
|
|
| 950,000 |
| |||
| Actual factory overhead costs |
|
| $ | 260,000 |
| |||
Requirement: Compute Cost of Goods Manufactured for the first three months of operations.
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