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The Pacific Manufacturing Company operates a job-order costing-(Answered)

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Question


The Pacific Manufacturing Company operates a job-order costing system and applies overhead cost to jobs on the basis of direct labor cost. Its predetermined overhead rate was based on a cost formula that estimated $118,300 of manufacturing overhead for an estimated allocation base of $91,000 direct labor dollars. The company has provided the following data:

??

??Inventories Beginning Ending
??Raw materials $ 27,000 $ 18,000
??Work in process $ 49,000 $ 38,000
??Finished goods $ 68,000 $ 58,000

???

The following actual costs were incurred during the year:

??

??
??Purchase of raw materials (all direct) $ 140,000
??Direct labor cost $ 87,000
??Actual manufacturing overhead costs:
?????Insurance, factory $ 10,000
?????Depreciation of equipment $ 20,000
?????Indirect labor $ 25,000
?????Property taxes $ 8,300
?????Maintenance $ 15,000
?????Rent, building $ 39,000

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Required:
1-a.

Compute the predetermined overhead rate for the year.

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??Predetermined overhead rate %

??

1-b.

Compute the amount of underapplied or overapplied overhead for the year.?(Input the amount as a positive value.)

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??(Click to select)UnderappliedOverapplied overhead $???

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2.

Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials.?(Input all amounts as positive values.)

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Pacific Manufacturing Company
Schedule of Cost of Goods Manufactured
??Direct materials:
??(Click to select)Raw materials inventory, beginningRaw materials inventory, endingWork in process, endingWork in process, beginningManufacturing overhead applied to work in process $ ???
??(Click to select)AddDeduct: (Click to select)Work in process, beginningPurchases of raw materialsWork in process, endingCost of goods manufacturedRaw materials inventory, ending ??
??
??Total raw materials available ??
??(Click to select)DeductAdd: (Click to select)Work in process, endingPurchases of raw materialsRaw materials inventory, beginningWork in process, beginningRaw materials inventory, ending ??
??
??Raw materials used in production $ ???
??(Click to select)Work in process, beginningRaw materials inventory, endingPurchases of raw materialsDirect laborWork in process, ending ??
??(Click to select)Purchases of raw materialsRaw materials inventory, endingWork in process, beginningManufacturing overhead applied to work in processWork in process, ending ??
??
??Total manufacturing cost ??
??(Click to select)DeductAdd: (Click to select)Raw materials inventory, beginningWork in process, beginningPurchases of raw materialsWork in process, endingRaw materials inventory ending ??
??
?? ??
??(Click to select)DeductAdd: (Click to select)Work in process, beginningWork in process, endingRaw materials inventory, beginningPurchases of raw materialsRaw materials inventory, ending ??
??
??Cost of goods manufactured $ ???

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3.

Compute the unadjusted cost of goods sold for the year. (Do not include any underapplied or overapplied overhead in your cost of goods sold figure.)

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??Unadjusted cost of goods sold $???
4.

Job 137 was started and completed during the year. What price would have been charged to the customer if the job required $3,400 in materials and $4,900 in direct labor cost, and the company priced its jobs at 30% above the job?s cost according to the accounting system?

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??Price to customer $???

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5.

Direct labor made up $8,600 of the $38,000 ending Work in Process inventory balance. Supply the information missing below:

??

??
??Direct materials $???
??Direct labor 8,600 ??
??Manufacturing overhead $
I'm unsure of what the answers are for all parts of this problem. If someone can help that would be great!

Work in process inventory$ 38,000

 

Paper#9209902 | Written in 27-Jul-2016

Price : $19
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