Last month, Pare Company placed P60,000 of materials into production. The Printing Department used 8,000 labor hours at P5.60 per hour and the Binding Department used 4,600 hours at P6.00 per hour. Factory overhead is applied at a rate of P6.00 per labor hour in the Printing Department and P8.00 per labor hour in the Binding Department. Pare’s inventory accounts show the following balances: Beginning Ending Finished goods 22,000 17,000 Work in process 15,000 17,600 Materials 20,000 18,000 What is the total cost of goods sold?
Last month, Pare Company placed P60,000 of materials into production. The Printing Department used 8,000 labor hours at P5.60 per hour and the Binding Department used 4,600 hours at P6.00 per hour. Factory overhead is applied at a rate of P6.00 per labor hour in the Printing Department and P8.00 per labor hour in the Binding Department. Pare’s inventory accounts show the following balances: Beginning Ending Finished goods 22,000 17,000 Work in process 15,000 17,600 Materials 20,000 18,000 What is the total cost of goods sold?
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter3: Process Cost Systems
Section: Chapter Questions
Problem 4E: The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the...
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- Last month, Pare Company placed P60,000 of materials into production. The Printing Department used 8,000 labor hours at P5.60 per hour and the Binding Department used 4,600 hours at P6.00 per hour. Factory overhead is applied at a rate of P6.00 per labor hour in the Printing Department and P8.00 per labor hour in the Binding Department. Pare’s inventory accounts show the following balances:
Beginning |
Ending |
|
Finished goods |
22,000 |
17,000 |
Work in process |
15,000 |
17,600 |
Materials |
20,000 |
18,000 |
What is the total cost of goods sold?
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