Question

In: Accounting

Widmer Watercraft’s predetermined overhead rate for year 2015 is 200% of direct labor. Information on the...

Widmer Watercraft’s predetermined overhead rate for year 2015 is 200% of direct labor. Information on the company’s production activities during May 2015 follows.

a.

Purchased raw materials on credit, $220,000.

b.

Materials requisitions record use of the following materials for the month.

  

  Job 136

$

49,000

  Job 137

33,500

  Job 138

19,600

  Job 139

22,600

  Job 140

7,000

  

  Total direct materials

131,700

  Indirect materials

21,500

  

  Total materials used

$

153,200

  

c.

Paid $15,500 cash to a computer consultant to reprogram factory equipment.

d.

Time tickets record use of the following labor for the month. These wages were paid in cash.

  

  Job 136

$

12,200

  Job 137

10,600

  Job 138

37,900

  Job 139

39,400

  Job 140

3,600

  

  Total direct labor

103,700

  Indirect labor

25,000

  

  Total

$

128,700

  

e.

Applied overhead to Jobs 136, 138, and 139.

f.

Transferred Jobs 136, 138, and 139 to Finished Goods.

g.

Sold Jobs 136 and 138 on credit at a total price of $530,000.

h.

The company incurred the following overhead costs during the month (credit Prepaid Insurance for
expired factory insurance).

  

  Depreciation of factory building

$

68,000

  Depreciation of factory equipment

38,000

  Expired factory insurance

11,000

  Accrued property taxes payable

37,000

i.

Applied overhead at month-end to the Work in Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost.

4.

Prepare a report showing the total cost of each job in process and prove that the sum of their costs equals the Work in Process Inventory account balance. Prepare similar reports for Finished Goods Inventory and Cost of Goods Sold.

     

Solutions

Expert Solution


Related Solutions

Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $240,000. Materials requisitions record use of the following materials for the month. Job 136 $ 48,500 Job 137 33,000 Job 138 19,600 Job 139 23,200 Job 140 7,400 Total direct materials 131,700 Indirect materials 21,000 Total materials used $ 152,700 Paid $15,750 cash to a computer consultant to reprogram factory equipment....
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $200,000. Materials requisitions record use of the following materials for the month. Job 136 $ 49,500 Job 137 33,000 Job 138 19,600 Job 139 23,000 Job 140 6,800 Total direct materials 131,900 Indirect materials 21,000 Total materials used $ 152,900 Paid $16,000 cash to a computer consultant to reprogram factory equipment....
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $220,000. Materials requisitions record use of the following materials for the month. Job 136 $49,000 Job 137 33,500 Job 138 19,800 Job 139 22,800 Job 140 6,600 Total direct materials 131,700 Indirect materials 20,000 Total materials used $151,700 Paid $15,750 cash to a computer consultant to reprogram factory equipment. Time tickets...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. A) Purchased raw materials on credit, $240,000. B) Materials requisitions record use of the following materials for the month. Job 136 $ 49,500 Job 137 32,500 Job 138 19,600 Job 139 23,000 Job 140 6,400 Total direct materials 131,000 Indirect materials 21,000 Total materials used $ 152,000 C) Paid $15,250 cash to a computer consultant to...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $200,000. Materials requisitions record use of the following materials for the month. Job 136 $ 49,000 Job 137 33,000 Job 138 19,800 Job 139 23,200 Job 140 7,000 Total direct materials 132,000 Indirect materials 21,000 Total materials used $ 153,000 Paid $16,000 cash to a computer consultant to reprogram factory equipment....
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $220,000. Materials requisitions record use of the following materials for the month. Job 136 $ 48,500 Job 137 32,500 Job 138 19,800 Job 139 22,800 Job 140 6,600 Total direct materials 130,200 Indirect materials 20,500 Total materials used $ 150,700 Paid $15,250 cash to a computer consultant to reprogram factory equipment....
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $220,000. Materials requisitions record use of the following materials for the month. Job 136 $49,000 Job 137 32,500 Job 138 20,000 Job 139 22,600 Job 140 6,600 Total direct materials 130,700 Indirect materials 20,500 Total materials used $151,200 Paid $15,250 cash to a computer consultant to reprogram factory equipment. Time tickets...
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor.
Widmer Watercraft’s predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the company’s production activities during May 2017 follows. Purchased raw materials on credit, $200,000.Materials requisitions record use of the following materials for the month. Job 136 $ 48,000Job 137 32,000Job 138 19,200Job 139 22,400Job 140 6,400Total direct materials 128,000Indirect materials 19,500Total materials used $ 147,500 Paid $15,000 cash to a computer consultant to reprogram factory equipment.Time tickets record use of the following labor for...
Widmer Watercraft’s predetermined overhead rate is 200% of direct labor. Information on the company’s production activities...
Widmer Watercraft’s predetermined overhead rate is 200% of direct labor. Information on the company’s production activities during May follows. Purchased raw materials on credit, $220,000. Materials requisitions record use of the following materials for the month. Job 136 $ 49,000 Job 137 33,000 Job 138 19,200 Job 139 23,000 Job 140 7,200 Total direct materials 131,400 Indirect materials 21,000 Total materials used $ 152,400 Paid $15,500 cash to a computer consultant to reprogram factory equipment. Time tickets record use of...
Widmer Watercraft’s predetermined overhead rate for year 2015 is 200% of direct labor. Information on the company’s production activities during May 2015 follows.
  Widmer Watercraft’s predetermined overhead rate for year 2015 is 200% of direct labor. Information on the company’s production activities during May 2015 follows. a. Purchased raw materials on credit, $220,000. b. Materials requisitions record use of the following materials for the month.            Job 136 $ 49,500     Job 137   32,000     Job 138   19,600     Job 139   23,000     Job 140   7,200              Total direct materials  ...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT