FUND.COST ACCOUNTING W/ CONNECT>LLF<>IB
6th Edition
ISBN: 9781260937893
Author: LANEN
Publisher: MCG
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Textbook Question
Chapter 7, Problem 25E
Assigning Costs to Jobs
Partially completed T-accounts and additional information for Cardinals, Inc., for the month of November appear next:
Additional information for November follows:
- Labor wage rate was $30 per hour.
- Manufacturing overhead is applied at $24 per direct labor-hour.
- During the month, sales revenue was $270,000, and selling and administrative costs were $48,000.
- This company has no indirect materials or supplies.
Required
- a. What cost amount of direct materials was issued to production during November?
- b. How much manufacturing overhead was applied to products during November?
- c. What was the cost of products completed during November?
- d. What was the balance of the Work-in-Process Inventory account at the end of November?
- e. What was the over- or underapplied manufacturing overhead for November?
- f. What was the operating profit for November? Any over- or underapplied overhead is written off to Cost of Goods Sold.
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Chapter 7 Solutions
FUND.COST ACCOUNTING W/ CONNECT>LLF<>IB
Ch. 7 - What are characteristics of companies that are...Ch. 7 - Direct labor-hours and direct labor dollars are...Ch. 7 - What is the purpose of having two manufacturing...Ch. 7 - How does the accountant know what to record for...Ch. 7 - How is job costing in service organizations (for...Ch. 7 - What are the costs of a product using normal...Ch. 7 - Prob. 7RQCh. 7 - What are three common sources of improprieties in...Ch. 7 - In the context of job costing, what are projects?...Ch. 7 - Why do most companies use normal or standard...
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