Question
In: Accounting
From the information, determine the total amount of: (a) Manufacturing overhead $ (b) Product costs $ (c) Period costs $
Question Description
Knight Company reports the following costs and expenses in May.
| Factory utilities | $15,500 | Direct labor | $69,100 | |||
| Depreciation on factory equipment | 12,650 | Sales salaries | 46,400 | |||
| Depreciation on delivery trucks | 3,800 | Property taxes on factory building | 2,500 | |||
| Indirect factory labor | 48,900 | Repairs to office equipment | 1,300 | |||
| Indirect materials | 80,800 | Factory repairs | 2,000 | |||
| Direct materials used | 137,600 | Advertising | 15,000 | |||
| Factory manager’s salary | 8,000 | Office supplies used | 2,640 |
From the information, determine the total amount of:
(a) Manufacturing overhead $
(b) Product costs $
(c) Period costs $
Solutions
Expert Solution
(a) Calculation of manufacturing overhead
| Particulars | Amount$ |
| Factory utilities | 15,500 |
| Depreciation on factory Equipment | 12,650 |
| Indirect factory labor | 48,900 |
| Indirect materials | 80,000 |
| Factory manager's Salary | 8,000 |
| Property taxes on factory building | 2,000 |
| Factory repairs | 2,000 |
| Manufacturing overhead | 1,70,350 |
(b) Calculation of Product Costs
| Particulars | Amount$ |
| Direct materials | 1,37,600 |
| Direct Labor | 69,100 |
| Manufacturing overhead | 1,70,350 |
| Product costs | 3,77,050 |
(C) Calculation of Period Costs
| Particulars | Amount$ |
| Depreciation on Delivery Trucks | 3,800 |
| Sales Salaries | 46,400 |
| Repairs to office Equipment | 1,300 |
| Advertising | 15,000 |
| Office Supplies Used | 2,640 |
| Period Costs | 69,140 |
(a) Manufacturing overhead = $1,70,350
(b) Product Costs = $3,77,050
(c) Period Costs = $69,140
balaji rao answered 4 years agoRelated Solutions
determine the total amount of manufacturing overhead,product costs & period costs
Caroline Company reports the following costs and expenses in May.Factory Utilities 11,500Depreciation on factory equipment 12,650Depreciation on delivery trucks 3,800Indirect factory labor 48,900indirect materials 80,800Direct materials used 137,600Factory manager's salary 8,000Direct labor 69,100Sales salaries 46,400Property taxes on factory building 2,500Repairs to office equipment 1,300factory repairs 2,000Advertising 18,000office supplies used 2,640
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