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Use the following information for the Exercises below. (Algo)
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[The following information applies to the questions displayed below.]
Pro-Weave manufactures stadium blankets by passing the products through a weaving department and then a sewing department. The following information is available regarding its June inventories:
Beginning Inventory Ending Inventory
Raw materials inventory $ 144,000 $ 273,000
Work in process inventoryWeaving 320,000410,000
Work in process inventorySewing 680,000850,000
Finished goods inventory 1,386,0001,216,000
The following additional information describes the companys manufacturing activities for June:
Raw materials purchases (on credit) $ 610,000
Other actual overhead cost (paid in cash)220,000
Materials used
DirectWeaving $ 294,000
DirectSewing 150,000
Indirect 182,000
Labor used
DirectWeaving $ 1,375,000
DirectSewing 395,000
Indirect 1,500,000
Overhead rates as a percent of direct labor
Weaving 90%
Sewing 155%
Sales (on credit) $ 4,950,000
1.Record the goods transferred from weaving to sewing.
2.Record the goods transferred from sewing to finished goods.
3.Record the sale on credit.
4.Record the sale on credit.
part 2
Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold.
(a) Transferred from Weaving to Sewing
(b) Transferred from Sewing to Finished Goods
(c) Cost of goods sold
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