Use the following information to answer questions The following information applies to the questions displayed below) 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 $ $44,000 9,300 $4,000 30,000 19.100 34,7ee Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 195,000 200,eee 15,000 46,000 113,500 1.100.000 55% Exercise 15-7 Cost flows in a job order costing system LO P1, P2, P3, P4 Compute the following amounts for the month of May using Taccounts. 1. Cost of direct materials used. 2. Cost of direct labor used 3. Cost of goods manufactured. 4. Cost of goods sold 5. Gross profit 6. Overapplied or underapplied overhead. Do not consider any underapplied or overapplied overhead Required information Raw Materials (RM) 44.000 15,000 findirect materials 195.000 ODM used Work in Process (WIP) 9 300 April 30 RM purchases April 30 OM used O used Overhead appled May 31 May 31 224,000 9,300 Finished Goods (FG) 54.000 Factory Overhead 15.000 Cont of goods sold Indirect materials Overhead applied 'April 30 Cost of goods manuf Indirect labor 45,000 Other Overhead costs 113.500 May 31 54,000 Underapplied OH 174.500 Income statement partial) Sales 1.100,000 Cost of goods sold Oross profit $ 1.100.000 Sales (received in cash) Predetermined overhead rate based on direct labor cost 1,180,000 55% Exercise 15-8 Journal entries for materials LO P1 1. Raw materials purchases for cash. 2. Direct materials usage. 3. Indirect materials usage. Prepare journal entries for the above transactions for the month of May. View transaction list View journal entry worksheet NO Transaction General Journal Credit Debit 195.000 1 1 Raw materials inventory Cash 195.000 2 2 Work in process inventory Raw materials inventory 3 3 15.000 Factory overhead Raw materials inventory 1,500 JU U VELA Sales (received in cash) Predetermined overhead rate based on direct labor cost 1,100,000 55% Exercise 15-9 Journal entries for labor LO P2 1. Direct labor usage. 2. Indirect labor usage. 3. Total payroll paid in cash. Prepare journal entries for the above transactions for the month of May. View transaction list transaction View journal entry worksheet No Transaction Debit Credit Credit 1 1 General Journal Work in process inventory Raw materials inventory 2 2 Work in process inventory Cash 3 3 Factory Overhead Cash Exercise 15-10 Journal entries for overhead LO P3 1. Incurred other overhead costs (record credit to Other Accounts). 2. Application of overhead to work in process. Prepare journal entries for the above transactions for the month of May. View transaction list Journal entry worksheet