Problem 3-14 Schedule of Cost of Goods Manufactured; Overhead Analysis [LO3-3, LO3-4]Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used inproduction (not on the basis of raw materials purchased). Its predetermined overhead rate was based on a cost formula that estimated$119,600 of manufacturing overhead for an estimated allocation base of $92,000 direct material dollars to be used in production. Thecompany has provided the following data for the just completed year:$ 134,00088,000Purchase of raw materialsDirect labor costManufacturing overhead costs:Indirect labor$ 111,7008,20016,00016,0007,70037,000Property taxesDepreciation of equipmentMaintenanceInsuranceRent, buildingBeginning$ 29,000 $ 15,000$ 46,000 $ 36,000$ 74,000 $ 57,000EndingRaw MaterialsWork in ProcessFinished GoodsRequired:1. Compute the predetermined overhead rate for the year.2. Compute the amount of underapplied or overapplied overhead for the year.3. Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials.4. Compute the unadjusted cost of goods sold for the year. Do not include any underapplied or overapplied overhead in your answer.5. Assume that the $36,000 ending balance in Work in Process includes $8,200 of direct materials. Given this assumption, supply theinformation missing below: Required 2Required 1Required 3Required 4Required 5Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as directmaterials.Gitano ProductsSchedule of Cost of Goods ManufacturedDirect materials:Total raw materials availableRaw materials used in productionTotal manufacturing costsCost of goods manufacturedRequired 2Required 4

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Asked Jan 29, 2020
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COMPLETE QUESTIONS 3, 4 and 5. I have already completed the first two questions. The answer to the first question is= predetermined overhead rate is 130%. The answer to the second question is= underapplied over head by $4200.

Problem 3-14 Schedule of Cost of Goods Manufactured; Overhead Analysis [LO3-3, LO3-4]
Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used in
production (not on the basis of raw materials purchased). Its predetermined overhead rate was based on a cost formula that estimated
$119,600 of manufacturing overhead for an estimated allocation base of $92,000 direct material dollars to be used in production. The
company has provided the following data for the just completed year:
$ 134,000
88,000
Purchase of raw materials
Direct labor cost
Manufacturing overhead costs:
Indirect labor
$ 111,700
8,200
16,000
16,000
7,700
37,000
Property taxes
Depreciation of equipment
Maintenance
Insurance
Rent, building
Beginning
$ 29,000 $ 15,000
$ 46,000 $ 36,000
$ 74,000 $ 57,000
Ending
Raw Materials
Work in Process
Finished Goods
Required:
1. Compute the predetermined overhead rate for the year.
2. Compute the amount of underapplied or overapplied overhead for the year.
3. Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials.
4. Compute the unadjusted cost of goods sold for the year. Do not include any underapplied or overapplied overhead in your answer.
5. Assume that the $36,000 ending balance in Work in Process includes $8,200 of direct materials. Given this assumption, supply the
information missing below:
help_outline

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Problem 3-14 Schedule of Cost of Goods Manufactured; Overhead Analysis [LO3-3, LO3-4] Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used in production (not on the basis of raw materials purchased). Its predetermined overhead rate was based on a cost formula that estimated $119,600 of manufacturing overhead for an estimated allocation base of $92,000 direct material dollars to be used in production. The company has provided the following data for the just completed year: $ 134,000 88,000 Purchase of raw materials Direct labor cost Manufacturing overhead costs: Indirect labor $ 111,700 8,200 16,000 16,000 7,700 37,000 Property taxes Depreciation of equipment Maintenance Insurance Rent, building Beginning $ 29,000 $ 15,000 $ 46,000 $ 36,000 $ 74,000 $ 57,000 Ending Raw Materials Work in Process Finished Goods Required: 1. Compute the predetermined overhead rate for the year. 2. Compute the amount of underapplied or overapplied overhead for the year. 3. Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials. 4. Compute the unadjusted cost of goods sold for the year. Do not include any underapplied or overapplied overhead in your answer. 5. Assume that the $36,000 ending balance in Work in Process includes $8,200 of direct materials. Given this assumption, supply the information missing below:

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Required 2
Required 1
Required 3
Required 4
Required 5
Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct
materials.
Gitano Products
Schedule of Cost of Goods Manufactured
Direct materials:
Total raw materials available
Raw materials used in production
Total manufacturing costs
Cost of goods manufactured
Required 2
Required 4
help_outline

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Required 2 Required 1 Required 3 Required 4 Required 5 Prepare a schedule of cost of goods manufactured for the year. Assume all raw materials are used in production as direct materials. Gitano Products Schedule of Cost of Goods Manufactured Direct materials: Total raw materials available Raw materials used in production Total manufacturing costs Cost of goods manufactured Required 2 Required 4

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