In: Accounting
In April 2016, SoCal Trailers Co. had the following cost data: |
COST DATA | |
a. |
Raw materials costing $92,000 were purchased. |
b. |
Raw materials costing $91,000 were used: direct materials, $85,000; indirect materials $6,000. |
c. |
Factory wages of $72,000 were incurred: direct labor $60,000; indirect labor $12,000. Social security tax deductions were $4,464, Medicare tax deductions were $1,044, federal income tax deductions were $10,800. |
d. |
Other overhead costs of $29,000 were incurred. (Credit Accounts Payable.) |
e. |
Estimated manufacturing overhead costs were applied to jobs in production at the rate of 75 percent of direct labor costs. |
f. |
Finished goods costing $160,000 were transferred from production to the warehouse. |
g. |
The cost of goods sold was $130,000. |
h. |
Sales on account for the month were $220,000. |
1. Compute the amount of overapplied or underapplied overhead for the month.
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Based on the partial income statement you have prepared, what portion of each sales dollar is realized as gross profit? (Round your answer to 2 decimal places.)