Compute the amount of (a) production costs transferred from Cutting to Stitching, (b) production costs transferred from Stitching to finished goods, and (c) cost of goods sold. BeginningInventoryEndingInventory$ 97,900135,500107,00038,250Raw materials inventoryWork in process inventory-CuttingWork in process inventory-StitchingFinished goods inventory$ 81,000193,500213,30050,100The following additional information describes the company's production activities for May.Direct materialsRaw materials purchased on creditct materialsDirect materials used-Stitching$ 100,00025,500sed-CuttingDirect laborDirect labor-CuttingDirect labor-Stitching$ 23,10092,400Factory Overhead (Actual costs)$ 57,60058,00062,000Indirect materials usedIndirect labor usedOther overhead costsFactory Overhead RatesCuttingStitching150% of direct materials used120% of direct labor usedSales$ 856,000

Answered: Compute the amount of (a) production…

Compute the amount of (a) production costs transferred from Cutting to Stitching, (b) production costs transferred from Stitching to finished goods, and (c) cost of goods sold.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter26: Manufacturing Accounting: The Job Order Cost System

Section: Chapter Questions

Problem 2SEB: SCHEDULE OF COST OF GOODS MANUFACTURED The following information is supplied for Sanchez Welding and...

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