CALCULATOR PRINTER VERSION 1 BACK NEXT Problem 4-30 Coronado, Inc. manufactures ergonomically designed computer furniture. Coronado uses a job order costing system. On November 30, the Work in Process Inventory consisted of the following jobs: Job No. Item Units Accumulated Cost CC723 Computer caddy 25,000 $970,000 CH291 Chair 18,000 432,000 PS812 Printer stand 25,000 251,000 $1,653,000 On November 30, Coronado's Raw Materials Inventory account totaled $679,000, and its Finished Goods Inventory totaled $3,495,400. Coronado applies manufacturing overhead on the basis of machine hours. The company's manufacturing overhead budget for the year totaled $4,600,000, and the company planned to use 920,000 machine hours during the year. Through the first eleven months of the year, the company used a total of 836,000 machine hours, total manufacturing overhead amounted to $4,284,500, and Cost of Goods Sold was $4,294,500. Coronado purchased $8,750,250 in raw materials in December and incurred the following costs for jobs in process that month: Materials Machine Direct Labor Direct Labor Job No. Issued Hours Hours Cost CC723 $155,000 13,000 13,500 $127,400 CH291 $16,800 4,800 3,900 $43,200 PS812 $227,000 20,400 16,300 $213,500 DS444 $260,000 18,000 16,500 $149,000 The following jobs were completed in December and transferred to the Finished Goods Inventory: Job No. Item Units CC723 Computer caddy 25,000 CH291 Chair 18,000 DS444 Desk 10,000 Assume that Coronado sold 16,000 computer caddies, 12,900 chairs, and 4,400 desks in December. Coronado incurred $395,000 in manufacturing overhead in December. Given that expenditure, was manufacturing overhead under- or overapplied for the year? By how much? Overhead by $ LINK TO TEXT LINK TO VIDEO Assume that Coronado closes under- or overapplied overhead to the Cost of Goods Sold account. Prepare the journal entry to close the manufacturing overhead account. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit LINK TO TEXT LINK TO VIDEO Assume that Coronado prorates under- or overapplied overhead to the appropriate accounts. Calculate the allocated amounts and adjust the account balances as needed. (Round % of total to 1 decimal places, e.g. 52.7% and final answers to 0 decimal places e.g. 5,275.) Allocation Adjusted Balance Work In Process Finished Goods 24 Cost of Goods Sold $ $4 Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT LINK TO VIDEO