I have figured out the first section thanks to an example I\'ve found and it is
ID: 2329157 • Letter: I
Question
I have figured out the first section thanks to an example I've found and it is checking as correct. However, I am having trouble following the example for the other sections. I would appreciate any help! Thanks!
Required Informatlon [The following Information applles 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 Inventories Raw materials Work in process Finished goods $ 30,000 9,400 64,000 S 45,000 20,400 33,200 Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead 171,000 150,000 Indirect materials Indirect labor Other overhead costs 16,000 34,500 115, 500 1,200,000 Sales (received in cash) Predetermined overhead rate based on direct labor cost 55% Compute the following amounts for the month of May using T-accounts. 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 overheadExplanation / Answer
1 cost of direct materials used Raw material inventory 30-Apr Open bal $30,000 $16,000 Indirect Materials RM purchase $171,000 $140,000 DM Used $45,000 Clo Balance 2 Cost of Direct labour used Direct labour cash $150,000 $34,500 Indirect labour $115,500 DL used 3 Cost of Goods manufactured cash $115,500 $63,525 OH applied Indirect labour $34,500 $102,475 Cost of Goods Manufactured Indirect Materials $16,000 here we have applied the underapplied overhead WIP 30-Apr Open bal $9,400 $308,025 Finished Goods Dm Used $140,000 Inventory DL used $115,500 $20,400 Closing Balance OH Applied $63,525 Finished Goods Inventory 30-Apr Op bal $64,000 $338,825 Cost of Goods WIP Inventory $308,025 sold $33,200 Clo Bal 4 Cost of Goods Sold $338,825 FG Inventory $441,300 income statement $102,475 Cost of Goods Manufacutured 5 Income Statement/Gross Profit PARTIAL Sales $1,200,000 Cost of googs sold $441,300 Gross Profit $758,700 6 Under or overapplied Overhead Actual OH-OH Applied $166000-$63525 $102,475 Overhead rate applied 55%* $115,500 $63,525