Partial operating data for Charing Cross Company are presented below. Charing Cr
ID: 2344820 • Letter: P
Question
Partial operating data for Charing Cross Company are presented below. Charing Cross Company's management has set the predetermined overhead rate for the current year at 80 percent of direct labor costs.
Using T accounts below and the data provided, compute the unknown values. If required, round your answers to the nearest dollar.
Account/Transaction December Beginning Materials Inventory $42,000 Beginning Work in Process Inventory 66,000 Beginning Finished Goods Inventory 29,000 Direct materials used 168,000 Direct materials purchased a. Direct labor costs 382,000 Overhead applied b. Cost of units completed c. Cost of Goods Sold 808,000 Ending Materials Inventory 38,000 Ending Work in Process Inventory 138,600 Ending Finished Goods Inventory d.
Explanation / Answer
Using T accounts below and the data provided, compute the unknown values. If required, round your answers to the nearest dollar.
Account/Transaction December
Beginning Materials Inventory $42,000
Beginning Work in Process Inventory $66,000
Beginning Finished Goods Inventory $29,000
Direct materials used $168,000
Direct materials purchased a. $88,000
Direct labor costs $382,000
Overhead applied b.$305,600
Cost of units completed c. $1,060,200
Cost of Goods Sold $808,000
Ending Materials Inventory $38,000
Ending Work in Process Inventory $138,600
Ending Finished Goods Inventory d. $281,200
Materials Inventory
Beg. Bal. $42,000 Used $168,000
a. Purchases $88,000
End. Bal. $38,000
$168,000 $168,000
Work in Process Inventory
Beg. Bal. $66,000 c. Completed During Period $1,060,200
Direct Materials $168,000
Direct Labor $382,000
b. Overhead App. $305,600
End. Bal. $138,600
$1,060,200 $1,060,200
Finished Goods Inventory
Beg. Bal. $29,000 Cost of Goods Sold $808,000
c. Completed During Period 1,060,200
d. End. Bal. 281,200
1,089,200 $1,089,200