Meyers Corporation had the following inventory balances at the beginning and end
ID: 2420481 • Letter: M
Question
Meyers Corporation had the following inventory balances at the beginning and end of November:
During November, $51,000 in raw materials (all direct materials) were drawn from inventory and used in production. The company's predetermined overhead rate was $10 per direct labor-hour, and it paid its direct labor workers $11 per hour. A total of 300 hours of direct labor time had been expended on the jobs in the beginning Work in Process inventory account. The ending Work in Process inventory account contained $6,000 of direct materials cost. The Corporation incurred $36,000 of actual manufacturing overhead cost during the month and applied $33,000 in manufacturing overhead cost.
The actual direct labor-hours worked during November totaled: (Round your answers to the nearest dollar.)
November 1 November 30 Raw Materials $ 24,000 $ 22,000 Finished Goods $ 66,000 $ 45,000 Work in Process $ 13,000 $ 15,000Explanation / Answer
Opening stock 24000 Purchase 49000 Closing stock 22000 Cost of goods consumed 51000 Direct loabour hours = hours worked x Rate per hour Paid 300 x 11 = 3300 Actualy 300 x 10 = 3000 Differencial cost 300 actual direct labor-hours worked during November Total actual hours paid / 10 per hour 3300 / 10 = 330 Hours