What do I have to do to calculate and get the correct values in areas that make up the middle and the right columns of Proration of Under-overallocated overhead cost(s) and Account Balance (after adjustment) on Requirement 4b and Requirement 4c?

Value Premium performs market research for consumer product companies across the country. The company conducts telephone surveys and gathers consumers together in focus groups to review foods, cleaning products, and toiletries. Value Premium uses a normal-costing system with one direct-cost pool, labor, and one indirect-cost pool, general overhead. General overhead is allocated to each job based on 180% of direct labor cost. Actual overhead equaled allocated overhead as of April 30, 2017. Actual overhead in May was $154,520 (Click the icon for additional information about Value Premium.) * More Info All costs incurred during the planning stage for a market research job and during the job are gathered in a balance sheet account called "Jobs in Progress (JIP).0" When a job is completed, the costs are transferred to an income statement account called O'Cost of Completed Jobs (CCJ).0" Following is cost information for May 2017: (Click the icon to view the cost information for May 2017.) As of May 1, there were two jobs in progress: Munchy Candy Bars, and Glitter Toothpaste. The jobs for Cruda Organic Salsa and Zest Dish Liquid were started during May. The jobs for Munchy Candy Bars and Zest Dish Liquid were completed during May Read the requirements. Data Table x Incurred in May From Beginning JIP General Overhead Labor Allocated 37,220 $ 24.000 5,860 5,000 $ $ Band Munchy Candy Bars Glitter Toothpaste Cruda Organic Salsa Zest Dish Liquid Labor 19,000 35,000 22.300 5,100 * Requirements 1. Calculate JIP at the end of May. 2. Calculate CCJ for May. 3. Calculate under-or overallocated overhead at the end of May. 4. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: a. Written off to CCJ b. Prorated based on the ending balances (before proration) in JIP and CCJ c. Prorated based on the overhead allocated in May in the ending balances of JIP and CCJ (before proration) 5. Which method would you choose? Explain. Would your choice depend on whether overhead cost is underallocated or overallocated? Explain. Requirement 1. Calculate JIP at the end of May. Balance at the Job end of May Glitter Toothpaste 108,860 Cruda Organic Salsa 62.440 171,300 Total EA $ Nice work! Requirement 2. Calculate CCJ for May. Balance at the Job end of May Munchy Candy Bars $ 114,420 Zest Dish Liquid 14,280 $ Total 128,700 $ Well done! Requirement 3. Calculate under-or overallocated overhead at the end of May. Overhead is underallocated by $ 8,000 at the end of May. Nice work! Requirement 4a. Calculate the ending balances in JIP and CCJ if the under-or overallocated overhead amount is as follows: Written off to CCJ. (If a box is not used in the table, leave the box empty, do not enter a zero.) 1 Account balance Under-Overallocated Account balance (before adjustment) overhead written off (after adjustment) JIP 171,300 171,300 CCJ 128,700 8,000 136,700 300,000 $ 8,000 $ 308,000 Fantastic! Requirement 4b. Calculate the ending balances in JIP and CCJ if the under-or overallocated overhead amount is as follows: Prorated based on the ending balances (before proration) in JIP and CCJ. (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance Proration of Under- (before adjustment) overallocated overhead $ 171,300 $ 4,568 $ 128,700 3.432 300,000 $ 8,000 $ Account balance (after adjustment) 175,868 132,132 JIP CCJ 308,000 Requirement 4c. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: Prorated based on the overhead allocated in May in the ending balances of JIP and CCJ (before proration). (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance (after adjustment) 176.932 131,068 JIP Account balance Proration of Under- (before adjustment) overallocated overhead 171,300 $ 5,632 128,700 2,368 $ 300,000 $ 8,000 $ 69 CCJ 308,000 Requirement 1. Calculate JIP at the end of May. 1 [Refer to-financial information on Data Table.] 1 Job (Glitter Toothpaste) =-Direct-Labor cost/Direct-labor used+General Overhead-cost-Allocated 1 =Beginning balance (1) for-Job (Glitter Toothpaste) 1 =-$5,860+ $5,0001 = $10.860 [1.]1 1 1 Job (Glitter-Toothpaste) 1 Refer to Data:Table to borrow financial information and incorporate-$35,000 under Labor in- May (2) and on the same rowdedicated to Job (Glitter Toothpaste). I 1 Refer to Data Table to borrow financial information and incorporate the following: - General overhead is allocated to each job based on-180% of direct-labor cost.[ 180 100 =-1.89 =-1.8-x-$35,0001 = $63,000[3.]1 = $10.860+$35,000+-$63,000 = $108,860 [4.] (1) + (4) Job Glitter Toothpaste + $10,860 + $35,000 $63,000 $108,8601 Job (Couda Organic Salsa) = Direct Labor cost/Direct-labor used+General-Overhead cost-Allocated = Beginning balance (1) for Job (Glitter-Toothpaste) = $0.00+ $0.001 1 = $0.00 [1.]1 Job (Cruda Organic Salsa) Refer to Data Table to borrow-financial information and incorporate-$22,300 under-Labor in May (2) and on the same row-dedicated to-Job-(Ciuda Organic Salsa). I Refer to-Data-Table to borrow-financial information and incorporate the following: 1 General-overhead is allocated to each-job based-on-180%-of direct labor cost. 180 100 =-1.87 1 =-1.8-x-$22,300 [2.] 1 =-$40,140 [3.11 =-$22,300+ $40,1401 1 =-$62,440 [4.]1 Job Sruda Organic-Salsa-S0 $22,300 $40.140 $62.4401 Job (Glitter-Toothpaste)'s General overhead cost applied in-May+-Job-(Cruda Organic Salsa)'s General overhead-applied-in-May =-Total:Beginning Balance =-$10,860+.SOT =$10,8601 1 Job (Glitter-Toothpaste) 's Direct labor cost-in-May+Job (Cruda Organic Salsa)'s Direct labor cost-in-Mayf = Total Direct labor cost-in-Mayf =$35,000+$22,300 = $57,3001 =-Job-(Glitter Toothpaste)'s-General overhead-applied in-May-+-Job-Cruda Organic-Salsa)'s General overhead applied-in-May = Total General-overhead applied in May =-563,000+ $40,1401 1 = $103,1401 =-Beginning balance (1) +-Direct-Labor cost-in-May (2) +General overhead applied in-May (3) = Total costat 1 = $10,860+$35,000+ $63,800 =-$108,8601 =Beginning balance (1) +-Labor in-May (2)+May-overhead applied (3) =Total costs Requirement 2. Calculate CCJ for May Job-(Munchy Candy Bars) Refer to-Data-Table to borrow-financial-information and incorporate the following: 1 1 =-$37,220+$24,000 1 =-561,2209 1 Next, insert-$61,220 to the right of Job-(Munchy Candy Bars) and underneath-Beginning Balance (1) Eventually, insert $19,000-[Refer to-financial information on-Data-Table] to the right of $61,220- and underneath Direct labor cost in May category. I 1 General overhead-is allocated to each job-based-on-180%-of-direct-labor-cost. 1 180 100 = 1.89 1 = $19,000-x-1.81 = $34.2001 1 Insert-$34,200 to the right of $19,000, the Directlabor cost-in-May, to act as the general- overhead cost-applied in May. I =-561,220-[1.]+$19,000-[2.]+-$34,200 [3.11 1 =-$114,4201 Beginning-Jobs-in-Progress (1) Directlabor cost-in-May (2) General overhead cost applied-in-May (3) Total cost (4) (1) + (4)9 Job Munchy-Candy Bars Total cost $61,220 $19,000 $34,200 + $114,4201 Job (Zest Dish Liquid) 1 Because Zest-Dish Liquid started their business in May, there is no beginning balance. --As a result, the beginning balance is $0.00,-or $0.1 1 I must-insert-$5,100 underneath and on column representing the Directlabor cost in May.1 1 General overhead cost is allocated to each job based on 180% of direct labor cost. 180 100 =-1.89 1 =-Direct-laborcost (Direct-labor used).-1.87 1 = General overhead cost allocated to each job 1 =-$5,100-x-1.81 1 = $9,1801 $9,180-is-entered in the chart as the General overhead-cost-applied-in-May (3). =Beginning-Jobs-in-Progress +Direct-labor-cost-in-May+General overhead-cost applied-in-May 1 = Total cost 1 = $0.00+ $5,100+$9,1801 = $14,280 (401 Beginning-Jobs in Progress (1) Directlabor cost-in-May (2) General Overhead cost applied in May (3) Total cost (4) - (2) (3) + + (4)1 Job Zest-Dish-Liquid Total cost - S0.00+ $5,100+ $9,1804 $14,2801 = $61,220+ $0.001 = $61,2201 1 =-$19,000+$5,1001 1 =-$24,1009 =-$34,200+$9,1801 =-$43,3801 =$114,420+$14,2801 = $128.7007 Beginning Jobs in Progress (1) Direct-labor cost-in-May-(2) General overhead cost applied in-May (3) Total cost (4) + (3) - + (4) Job Munchy Candy Bars+ $61,220 $19.000 $34,200 $114,4201 Zest:Dish-Liquid Total cost S0.00+ $61,220 $5,1004 $24.100 $9.180+ $43,380 $14,2801 $128.7007 + + $128,700-is the Total cost of completed-jobs. I Beginning-Jobs-in-Progress (1) Direct-labor cost-in-May (2) General overhead-cost-applied-in-May (3) Total cost (4) + (2) + (3) (4)1 (1) Job Glitter Toothpaste + $10,860 Cruda Organic Salsa+ $0 Total cost $10.860 + $35,000 $22,300 $57,300 $63.000 $40.140 $103,140 $108,8609 $62,4401 $171,3009 - + (4)1 Job + + Munchy Candy Bars $61,220 + $19,000 $34,200 $114,4201 Zest-Dish Liquid $0.00 $5,1004 $9,1804 $14,2801 Total cost $61,220 $24,100 $43,380 $128,700 1 Total Allocated overhead (or-Overhead allocated) Formula 1 =-Overhead allocated at the end of May + Overhead allocated at the end of Mayf 1 = Total Allocated overhead (or Overhead-allocated) at the end of Mayf 1 = $103,140+43,3809 = $146,5201 Underallocated/(Overallocated) manufacturing overhead Formula =-Actual manufacturing overhead-cost (or-Actual overhead-cost) - Allocated manufacturing overhead-cost-(or-Allocated overhead-cost)-(Total-Allocated-overhead-in-May) =-Underallocated/(Overallocated) manufacturing overhead (manufacturing overhead) cost 1 = $154,520 - $146,5209 =-$8.0001 The overhead cost-(or overhead indirect cost, manufacturing overhead cost) difference (variance) is underallocated-by-$8,000, calculated using the normal costing method, because, $146.520, the allocated amount of indirect costs in an accounting period is smaller than, $154,520, the actual (incurred) amount 1 If the allocated (applied) -amount of indirect costs in an accounting period is larger than the actual-(incurred) amount the overhead-cost-(or overhead indirect-cost, manufacturing: overhead cost) difference (variance) is overallocated.--If the allocated (applied)-amount of indirect costs-in-an-accounting period is smaller than the actual (incurred) amount, the overhead cost (or overhead indirect cost, manufacturing overhead cost) difference (variance) is underallocated. I [Refer to-financial information on the Table with Completion costs.] $171,300 is the Total Job-in-Progress. 1 $128.700 is the Total cost of completed-jobs. $8.000-is-Underallocated-overhead cost (overhead indirect cost). Account balance Underallocated Account balance (before adjustment) +. overhead written off (after adjustment) JIP + 171,300 =...171,3001 CCJ + 128.700 + 8,000+ =+136,7001 300,000 + 8,000+ =...-308.0009 1 Requirement 4b. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: Prorated based on the ending balances (before proration) in JIP and CCJ. (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance before proration --171.300 + +128.700 + / --300,000 + Total balance of accounts 300.000 300,000 JIP - CCJ + Account balance as a percent of total =....57.1% =+42.9% =-100.0% [Refer to-financial information on the Table with Completion costs.] $171,300-is the Total Job in Progress. I $128.700 is the Total cost of completed-jobs. I Account balance as a percent of total Formula Account balance before proration Total balance of accounts =-Account balance as a percent of total 1 Job-in-Progress's balance as a percent of total-Formular 1 $171,300 $300,000 =-0.5711 =-0.571-x-1001 =-57.1% 57.1%-is the Job in Progress's balance as a percent of total Cost of Completed-Job's balance as a percent of total-Formular $128,700 $300,000 =-0.4299 1 =-0.429-x-1001 =:42.9% 1 V 42.9% is the Cost of Completed-Job's balance as a percent of total Account balance as a percent of total --57.1% CCJ + +42.9% -100% Under- (Over) allocated + 8,000+ 8,000+ JIP 3 Proration = 4,5681 =+3.4329 --.8,0001 X + + 57.1% 1 57.1 100 1 =-0.5711 =-0.571-x-$8.0001 1 = $4,5689 $4,568-is-Job-in-Progress's Proration 42.9% 1 42.9 100 =-0.4291 1 =-0.429.x $8.0001 1 =-$3,4321 $3,432-is Cost of Completed-Job's Proration 1 =-$4,568 +$3,4321 =-$8,000 Account balance (after adjustment) + Account balance (before adjustment) --171.300 + +128,700 + --300,000 + JIP CCJ - + Proration of Under- overallocated overhead 571 + =----171,8719 429 + =+-1291299 1,000+ =....301,0009 + + + [Refer to-financial information on the Table with Completion costs.] 1 $171,300 is the Total Job-inProgress. I $128.700 is the Total cost of completed-jobs. I 1 $571-is-Job-in-Progress's-Proration. $429-is-Cost-of-Completed-Job's-Proration. I Beginning Jobs in Progress (1) Direct labor cost in-May (2) General overhead cost applied in-May (3) Total cost-(4) -+ (3) (4) + (1) + Job Munchy Candy Bars+ $61,220 $19,000 Zest-Dish-Liquid S0.00+ $5,100+ Total cost + $61,220 $24,100 + 1 $128.700-is the Total cost of completed-jobs. I $34,200 $9,180+ $43,380 + $114,4201 $14,2801 $128,7009 + - Beginning Jobs in Progress (1) Direct-labor cost in May (2) General overhead cost-applied in May (3) Total cost (4) + (4) Job Glitter Toothpaste + $10,860 Cruda Organic Salsa+$0 Total cost + $10,860 - $35,000 $22,300 $57,300 $63,000 $108,8609 $40.140 $62.4401 $103.140 + $171,300 (1) + - (2) (4)1 Job Munchy Candy Bars+ Zest-Dish-Liquid Total cost + + + $61,220 + $0.00+ $61,220 $19.000 $5,1004 $24.100 $34,200 + $9,1804 $43,380 $114,4201 $14,2801 $128.7007 + + Total Allocated 'overhead (or-Overhead allocated) Formula =Overhead allocated at the end of May+ Overhead allocated at the end of May = Total-Allocated-overhead (or-Overhead-allocated at the end of May =-$103.140+43,3809 = $146,5201 [Refer to-financial information on the-Table with Completion costs.] Manufacturing overhead in each account balance before proration JIP --103.140 CCJ +43,380 --146.520 + / Total manufacturing overhead 146,520 146,520 Manufacturing overhead in each account balance as a percent of total =....70.51 =+29.57 ----100.07 Completed - / + + Manufacturing overhead in Job in progress as a percent of total Manufacturing overhead in each Job in Progress's balance before proration Total manufacturing overhead = Manufacturing overhead-in-Job in progress as a percent of total $103,140 $146,520 =-0.7039312045 =-0.703931204 x 1001 1 = 70.391 Round to the nearest tenth place, so it is 70.39.1 =-70.391 V 70.4% is the Manufacturing overhead-in-Job-in progress as a percent of total. Completed 1 Manufacturing overhead-in-Job in progress as a percent of total Manufacturing overhead in each ob in Progress's balance before proration Total manufacturing overhead =-Manufacturing overhead-in-Job in progress as a percent of total $43.380 $146,520 =-0.2960687961 1 =-0.296068796-x-1001 1 =-29.604 Round to the nearest tenth place, so it is-29.6.1 = 29.69 1 29.6% is the Manufacturing overhead in-Job-in progress as a percent of total Completed Now calculate the proration amounts. (Round your answers to the nearest whole dollar.) Account balance as a Under- (Over) percent of total allocated Proration Completed JIP + --70.5+X + 8,000+ =...-5,6401 CCJ + +29.5+X 8,000+ =+2.3601 100 + =--.8,0009 1 $8.000-is-Underallocated-overhead cost (overhead indirect cost). 1 =-0.705 x $8.000 1 =$5,6401 =-0.295-x-$8.0001 1 =-$2,3601 1 =$5,640+$2.3601 = 29.69 1 29.6% is the Manufacturing overhead in-Job-in progress as a percent of total Completed Now calculate the proration amounts. (Round your answers to the nearest whole dollar.) Account balance as a Under- (Over) percent of total allocated Proration Completed JIP + --70.5+X + 8,000+ =...-5,6401 CCJ + +29.5+X 8,000+ =+2.3601 100 + =--.8,0009 1 $8.000-is-Underallocated-overhead cost (overhead indirect cost). 1 =-0.705 x $8.000 1 =$5,6401 =-0.295-x-$8.0001 1 =-$2,3601 1 =$5,640+$2.3601 =-$8,0001 1 $5,640 -is-Proration for Job in Progress. $2.360 is Proration for Complete cost of job. Beginning-Jobs-in-Progress (1) Direct labor cost-in-May (2) General overhead cost-applied in May (3) Total cost (4) (4) Job Glitter-Toothpaste + $10,860 Cruda Organic-Salsa+$0 + Total cost $10.860 + $35,000 + $22,300 + $57,300 $63,000 + $40,140 $103.140 $108,8609 $62,4401 $171,3001 (1) + (41 Job Munchy Candy Bars+ Zest-Dish-Liquid Total cost + --+ $61,220 + $0.00 $61,220 $19.000 + $5,100+ $24,100 $34,200 + $9.1804 $43,380 $114,4201 $14,2801 $128.7007 -+ - *$171,300 is the Total Job-in-Progress. *$128,700 is the Total cost of completed jobs. $705 is Proration of Undercover)allocated-overhead for Jobs in Progress. $295 is-Proration for Under(over)allocated overhead for Cost-of-Completed-Jobs. I Now complete the table below to determine the account balances at the end of the month using the proration method based on the overhead allocated in May (before proration) in JIP & CCJ. Account balance Proration of Under- (before adjustment) overallocated overhead JIP + --171.300 + +$705+ CCJ +128,700 + +$2954 --300,000 ---$8.000 + Account balance (after adjustment) $172,0057 $128.9951 $308,0001 + Value Premium performs market research for consumer product companies across the country. The company conducts telephone surveys and gathers consumers together in focus groups to review foods, cleaning products, and toiletries. Value Premium uses a normal-costing system with one direct-cost pool, labor, and one indirect-cost pool, general overhead. General overhead is allocated to each job based on 180% of direct labor cost. Actual overhead equaled allocated overhead as of April 30, 2017. Actual overhead in May was $154,520 (Click the icon for additional information about Value Premium.) * More Info All costs incurred during the planning stage for a market research job and during the job are gathered in a balance sheet account called "Jobs in Progress (JIP).0" When a job is completed, the costs are transferred to an income statement account called O'Cost of Completed Jobs (CCJ).0" Following is cost information for May 2017: (Click the icon to view the cost information for May 2017.) As of May 1, there were two jobs in progress: Munchy Candy Bars, and Glitter Toothpaste. The jobs for Cruda Organic Salsa and Zest Dish Liquid were started during May. The jobs for Munchy Candy Bars and Zest Dish Liquid were completed during May Read the requirements. Data Table x Incurred in May From Beginning JIP General Overhead Labor Allocated 37,220 $ 24.000 5,860 5,000 $ $ Band Munchy Candy Bars Glitter Toothpaste Cruda Organic Salsa Zest Dish Liquid Labor 19,000 35,000 22.300 5,100 * Requirements 1. Calculate JIP at the end of May. 2. Calculate CCJ for May. 3. Calculate under-or overallocated overhead at the end of May. 4. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: a. Written off to CCJ b. Prorated based on the ending balances (before proration) in JIP and CCJ c. Prorated based on the overhead allocated in May in the ending balances of JIP and CCJ (before proration) 5. Which method would you choose? Explain. Would your choice depend on whether overhead cost is underallocated or overallocated? Explain. Requirement 1. Calculate JIP at the end of May. Balance at the Job end of May Glitter Toothpaste 108,860 Cruda Organic Salsa 62.440 171,300 Total EA $ Nice work! Requirement 2. Calculate CCJ for May. Balance at the Job end of May Munchy Candy Bars $ 114,420 Zest Dish Liquid 14,280 $ Total 128,700 $ Well done! Requirement 3. Calculate under-or overallocated overhead at the end of May. Overhead is underallocated by $ 8,000 at the end of May. Nice work! Requirement 4a. Calculate the ending balances in JIP and CCJ if the under-or overallocated overhead amount is as follows: Written off to CCJ. (If a box is not used in the table, leave the box empty, do not enter a zero.) 1 Account balance Under-Overallocated Account balance (before adjustment) overhead written off (after adjustment) JIP 171,300 171,300 CCJ 128,700 8,000 136,700 300,000 $ 8,000 $ 308,000 Fantastic! Requirement 4b. Calculate the ending balances in JIP and CCJ if the under-or overallocated overhead amount is as follows: Prorated based on the ending balances (before proration) in JIP and CCJ. (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance Proration of Under- (before adjustment) overallocated overhead $ 171,300 $ 4,568 $ 128,700 3.432 300,000 $ 8,000 $ Account balance (after adjustment) 175,868 132,132 JIP CCJ 308,000 Requirement 4c. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: Prorated based on the overhead allocated in May in the ending balances of JIP and CCJ (before proration). (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance (after adjustment) 176.932 131,068 JIP Account balance Proration of Under- (before adjustment) overallocated overhead 171,300 $ 5,632 128,700 2,368 $ 300,000 $ 8,000 $ 69 CCJ 308,000 Requirement 1. Calculate JIP at the end of May. 1 [Refer to-financial information on Data Table.] 1 Job (Glitter Toothpaste) =-Direct-Labor cost/Direct-labor used+General Overhead-cost-Allocated 1 =Beginning balance (1) for-Job (Glitter Toothpaste) 1 =-$5,860+ $5,0001 = $10.860 [1.]1 1 1 Job (Glitter-Toothpaste) 1 Refer to Data:Table to borrow financial information and incorporate-$35,000 under Labor in- May (2) and on the same rowdedicated to Job (Glitter Toothpaste). I 1 Refer to Data Table to borrow financial information and incorporate the following: - General overhead is allocated to each job based on-180% of direct-labor cost.[ 180 100 =-1.89 =-1.8-x-$35,0001 = $63,000[3.]1 = $10.860+$35,000+-$63,000 = $108,860 [4.] (1) + (4) Job Glitter Toothpaste + $10,860 + $35,000 $63,000 $108,8601 Job (Couda Organic Salsa) = Direct Labor cost/Direct-labor used+General-Overhead cost-Allocated = Beginning balance (1) for Job (Glitter-Toothpaste) = $0.00+ $0.001 1 = $0.00 [1.]1 Job (Cruda Organic Salsa) Refer to Data Table to borrow-financial information and incorporate-$22,300 under-Labor in May (2) and on the same row-dedicated to-Job-(Ciuda Organic Salsa). I Refer to-Data-Table to borrow-financial information and incorporate the following: 1 General-overhead is allocated to each-job based-on-180%-of direct labor cost. 180 100 =-1.87 1 =-1.8-x-$22,300 [2.] 1 =-$40,140 [3.11 =-$22,300+ $40,1401 1 =-$62,440 [4.]1 Job Sruda Organic-Salsa-S0 $22,300 $40.140 $62.4401 Job (Glitter-Toothpaste)'s General overhead cost applied in-May+-Job-(Cruda Organic Salsa)'s General overhead-applied-in-May =-Total:Beginning Balance =-$10,860+.SOT =$10,8601 1 Job (Glitter-Toothpaste) 's Direct labor cost-in-May+Job (Cruda Organic Salsa)'s Direct labor cost-in-Mayf = Total Direct labor cost-in-Mayf =$35,000+$22,300 = $57,3001 =-Job-(Glitter Toothpaste)'s-General overhead-applied in-May-+-Job-Cruda Organic-Salsa)'s General overhead applied-in-May = Total General-overhead applied in May =-563,000+ $40,1401 1 = $103,1401 =-Beginning balance (1) +-Direct-Labor cost-in-May (2) +General overhead applied in-May (3) = Total costat 1 = $10,860+$35,000+ $63,800 =-$108,8601 =Beginning balance (1) +-Labor in-May (2)+May-overhead applied (3) =Total costs Requirement 2. Calculate CCJ for May Job-(Munchy Candy Bars) Refer to-Data-Table to borrow-financial-information and incorporate the following: 1 1 =-$37,220+$24,000 1 =-561,2209 1 Next, insert-$61,220 to the right of Job-(Munchy Candy Bars) and underneath-Beginning Balance (1) Eventually, insert $19,000-[Refer to-financial information on-Data-Table] to the right of $61,220- and underneath Direct labor cost in May category. I 1 General overhead-is allocated to each job-based-on-180%-of-direct-labor-cost. 1 180 100 = 1.89 1 = $19,000-x-1.81 = $34.2001 1 Insert-$34,200 to the right of $19,000, the Directlabor cost-in-May, to act as the general- overhead cost-applied in May. I =-561,220-[1.]+$19,000-[2.]+-$34,200 [3.11 1 =-$114,4201 Beginning-Jobs-in-Progress (1) Directlabor cost-in-May (2) General overhead cost applied-in-May (3) Total cost (4) (1) + (4)9 Job Munchy-Candy Bars Total cost $61,220 $19,000 $34,200 + $114,4201 Job (Zest Dish Liquid) 1 Because Zest-Dish Liquid started their business in May, there is no beginning balance. --As a result, the beginning balance is $0.00,-or $0.1 1 I must-insert-$5,100 underneath and on column representing the Directlabor cost in May.1 1 General overhead cost is allocated to each job based on 180% of direct labor cost. 180 100 =-1.89 1 =-Direct-laborcost (Direct-labor used).-1.87 1 = General overhead cost allocated to each job 1 =-$5,100-x-1.81 1 = $9,1801 $9,180-is-entered in the chart as the General overhead-cost-applied-in-May (3). =Beginning-Jobs-in-Progress +Direct-labor-cost-in-May+General overhead-cost applied-in-May 1 = Total cost 1 = $0.00+ $5,100+$9,1801 = $14,280 (401 Beginning-Jobs in Progress (1) Directlabor cost-in-May (2) General Overhead cost applied in May (3) Total cost (4) - (2) (3) + + (4)1 Job Zest-Dish-Liquid Total cost - S0.00+ $5,100+ $9,1804 $14,2801 = $61,220+ $0.001 = $61,2201 1 =-$19,000+$5,1001 1 =-$24,1009 =-$34,200+$9,1801 =-$43,3801 =$114,420+$14,2801 = $128.7007 Beginning Jobs in Progress (1) Direct-labor cost-in-May-(2) General overhead cost applied in-May (3) Total cost (4) + (3) - + (4) Job Munchy Candy Bars+ $61,220 $19.000 $34,200 $114,4201 Zest:Dish-Liquid Total cost S0.00+ $61,220 $5,1004 $24.100 $9.180+ $43,380 $14,2801 $128.7007 + + $128,700-is the Total cost of completed-jobs. I Beginning-Jobs-in-Progress (1) Direct-labor cost-in-May (2) General overhead-cost-applied-in-May (3) Total cost (4) + (2) + (3) (4)1 (1) Job Glitter Toothpaste + $10,860 Cruda Organic Salsa+ $0 Total cost $10.860 + $35,000 $22,300 $57,300 $63.000 $40.140 $103,140 $108,8609 $62,4401 $171,3009 - + (4)1 Job + + Munchy Candy Bars $61,220 + $19,000 $34,200 $114,4201 Zest-Dish Liquid $0.00 $5,1004 $9,1804 $14,2801 Total cost $61,220 $24,100 $43,380 $128,700 1 Total Allocated overhead (or-Overhead allocated) Formula 1 =-Overhead allocated at the end of May + Overhead allocated at the end of Mayf 1 = Total Allocated overhead (or Overhead-allocated) at the end of Mayf 1 = $103,140+43,3809 = $146,5201 Underallocated/(Overallocated) manufacturing overhead Formula =-Actual manufacturing overhead-cost (or-Actual overhead-cost) - Allocated manufacturing overhead-cost-(or-Allocated overhead-cost)-(Total-Allocated-overhead-in-May) =-Underallocated/(Overallocated) manufacturing overhead (manufacturing overhead) cost 1 = $154,520 - $146,5209 =-$8.0001 The overhead cost-(or overhead indirect cost, manufacturing overhead cost) difference (variance) is underallocated-by-$8,000, calculated using the normal costing method, because, $146.520, the allocated amount of indirect costs in an accounting period is smaller than, $154,520, the actual (incurred) amount 1 If the allocated (applied) -amount of indirect costs in an accounting period is larger than the actual-(incurred) amount the overhead-cost-(or overhead indirect-cost, manufacturing: overhead cost) difference (variance) is overallocated.--If the allocated (applied)-amount of indirect costs-in-an-accounting period is smaller than the actual (incurred) amount, the overhead cost (or overhead indirect cost, manufacturing overhead cost) difference (variance) is underallocated. I [Refer to-financial information on the Table with Completion costs.] $171,300 is the Total Job-in-Progress. 1 $128.700 is the Total cost of completed-jobs. $8.000-is-Underallocated-overhead cost (overhead indirect cost). Account balance Underallocated Account balance (before adjustment) +. overhead written off (after adjustment) JIP + 171,300 =...171,3001 CCJ + 128.700 + 8,000+ =+136,7001 300,000 + 8,000+ =...-308.0009 1 Requirement 4b. Calculate the ending balances in JIP and CCJ if the under- or overallocated overhead amount is as follows: Prorated based on the ending balances (before proration) in JIP and CCJ. (Round intermediary calculations to three decimal places, XXX or to the nearest tenth percent, X.X%. Round the amount you input in the cell to the nearest dollar.) Account balance before proration --171.300 + +128.700 + / --300,000 + Total balance of accounts 300.000 300,000 JIP - CCJ + Account balance as a percent of total =....57.1% =+42.9% =-100.0% [Refer to-financial information on the Table with Completion costs.] $171,300-is the Total Job in Progress. I $128.700 is the Total cost of completed-jobs. I Account balance as a percent of total Formula Account balance before proration Total balance of accounts =-Account balance as a percent of total 1 Job-in-Progress's balance as a percent of total-Formular 1 $171,300 $300,000 =-0.5711 =-0.571-x-1001 =-57.1% 57.1%-is the Job in Progress's balance as a percent of total Cost of Completed-Job's balance as a percent of total-Formular $128,700 $300,000 =-0.4299 1 =-0.429-x-1001 =:42.9% 1 V 42.9% is the Cost of Completed-Job's balance as a percent of total Account balance as a percent of total --57.1% CCJ + +42.9% -100% Under- (Over) allocated + 8,000+ 8,000+ JIP 3 Proration = 4,5681 =+3.4329 --.8,0001 X + + 57.1% 1 57.1 100 1 =-0.5711 =-0.571-x-$8.0001 1 = $4,5689 $4,568-is-Job-in-Progress's Proration 42.9% 1 42.9 100 =-0.4291 1 =-0.429.x $8.0001 1 =-$3,4321 $3,432-is Cost of Completed-Job's Proration 1 =-$4,568 +$3,4321 =-$8,000 Account balance (after adjustment) + Account balance (before adjustment) --171.300 + +128,700 + --300,000 + JIP CCJ - + Proration of Under- overallocated overhead 571 + =----171,8719 429 + =+-1291299 1,000+ =....301,0009 + + + [Refer to-financial information on the Table with Completion costs.] 1 $171,300 is the Total Job-inProgress. I $128.700 is the Total cost of completed-jobs. I 1 $571-is-Job-in-Progress's-Proration. $429-is-Cost-of-Completed-Job's-Proration. I Beginning Jobs in Progress (1) Direct labor cost in-May (2) General overhead cost applied in-May (3) Total cost-(4) -+ (3) (4) + (1) + Job Munchy Candy Bars+ $61,220 $19,000 Zest-Dish-Liquid S0.00+ $5,100+ Total cost + $61,220 $24,100 + 1 $128.700-is the Total cost of completed-jobs. I $34,200 $9,180+ $43,380 + $114,4201 $14,2801 $128,7009 + - Beginning Jobs in Progress (1) Direct-labor cost in May (2) General overhead cost-applied in May (3) Total cost (4) + (4) Job Glitter Toothpaste + $10,860 Cruda Organic Salsa+$0 Total cost + $10,860 - $35,000 $22,300 $57,300 $63,000 $108,8609 $40.140 $62.4401 $103.140 + $171,300 (1) + - (2) (4)1 Job Munchy Candy Bars+ Zest-Dish-Liquid Total cost + + + $61,220 + $0.00+ $61,220 $19.000 $5,1004 $24.100 $34,200 + $9,1804 $43,380 $114,4201 $14,2801 $128.7007 + + Total Allocated 'overhead (or-Overhead allocated) Formula =Overhead allocated at the end of May+ Overhead allocated at the end of May = Total-Allocated-overhead (or-Overhead-allocated at the end of May =-$103.140+43,3809 = $146,5201 [Refer to-financial information on the-Table with Completion costs.] Manufacturing overhead in each account balance before proration JIP --103.140 CCJ +43,380 --146.520 + / Total manufacturing overhead 146,520 146,520 Manufacturing overhead in each account balance as a percent of total =....70.51 =+29.57 ----100.07 Completed - / + + Manufacturing overhead in Job in progress as a percent of total Manufacturing overhead in each Job in Progress's balance before proration Total manufacturing overhead = Manufacturing overhead-in-Job in progress as a percent of total $103,140 $146,520 =-0.7039312045 =-0.703931204 x 1001 1 = 70.391 Round to the nearest tenth place, so it is 70.39.1 =-70.391 V 70.4% is the Manufacturing overhead-in-Job-in progress as a percent of total. Completed 1 Manufacturing overhead-in-Job in progress as a percent of total Manufacturing overhead in each ob in Progress's balance before proration Total manufacturing overhead =-Manufacturing overhead-in-Job in progress as a percent of total $43.380 $146,520 =-0.2960687961 1 =-0.296068796-x-1001 1 =-29.604 Round to the nearest tenth place, so it is-29.6.1 = 29.69 1 29.6% is the Manufacturing overhead in-Job-in progress as a percent of total Completed Now calculate the proration amounts. (Round your answers to the nearest whole dollar.) Account balance as a Under- (Over) percent of total allocated Proration Completed JIP + --70.5+X + 8,000+ =...-5,6401 CCJ + +29.5+X 8,000+ =+2.3601 100 + =--.8,0009 1 $8.000-is-Underallocated-overhead cost (overhead indirect cost). 1 =-0.705 x $8.000 1 =$5,6401 =-0.295-x-$8.0001 1 =-$2,3601 1 =$5,640+$2.3601 = 29.69 1 29.6% is the Manufacturing overhead in-Job-in progress as a percent of total Completed Now calculate the proration amounts. (Round your answers to the nearest whole dollar.) Account balance as a Under- (Over) percent of total allocated Proration Completed JIP + --70.5+X + 8,000+ =...-5,6401 CCJ + +29.5+X 8,000+ =+2.3601 100 + =--.8,0009 1 $8.000-is-Underallocated-overhead cost (overhead indirect cost). 1 =-0.705 x $8.000 1 =$5,6401 =-0.295-x-$8.0001 1 =-$2,3601 1 =$5,640+$2.3601 =-$8,0001 1 $5,640 -is-Proration for Job in Progress. $2.360 is Proration for Complete cost of job. Beginning-Jobs-in-Progress (1) Direct labor cost-in-May (2) General overhead cost-applied in May (3) Total cost (4) (4) Job Glitter-Toothpaste + $10,860 Cruda Organic-Salsa+$0 + Total cost $10.860 + $35,000 + $22,300 + $57,300 $63,000 + $40,140 $103.140 $108,8609 $62,4401 $171,3001 (1) + (41 Job Munchy Candy Bars+ Zest-Dish-Liquid Total cost + --+ $61,220 + $0.00 $61,220 $19.000 + $5,100+ $24,100 $34,200 + $9.1804 $43,380 $114,4201 $14,2801 $128.7007 -+ - *$171,300 is the Total Job-in-Progress. *$128,700 is the Total cost of completed jobs. $705 is Proration of Undercover)allocated-overhead for Jobs in Progress. $295 is-Proration for Under(over)allocated overhead for Cost-of-Completed-Jobs. I Now complete the table below to determine the account balances at the end of the month using the proration method based on the overhead allocated in May (before proration) in JIP & CCJ. Account balance Proration of Under- (before adjustment) overallocated overhead JIP + --171.300 + +$705+ CCJ +128,700 + +$2954 --300,000 ---$8.000 + Account balance (after adjustment) $172,0057 $128.9951 $308,0001 +