200) Vogel Corporation’s cost of goods manufactured last month was $136,000. The beginning
finished goods inventory was $35,000 and the ending finished goods inventory was $48,000.
Overhead was overapplied by $6,000.Any underapplied or overapplied manufacturing overhead is
closed out to cost of goods sold.
How much is the cost of goods available for sale on the Schedule of Cost of Goods Sold?
A) $171,000
B) $117,000
C) $123,000
D) $136,000
201) Vogel Corporation’s cost of goods manufactured last month was $136,000. The beginning
finished goods inventory was $35,000 and the ending finished goods inventory was $48,000.
Overhead was overapplied by $6,000.Any underapplied or overapplied manufacturing overhead is
closed out to cost of goods sold.
How much is the unadjusted cost of goods sold on the Schedule of Cost of Goods Sold?
A) $171,000
B) $123,000
C) $117,000
D) $136,000
202) Vogel Corporation’s cost of goods manufactured last month was $136,000. The beginning
finished goods inventory was $35,000 and the ending finished goods inventory was $48,000.
Overhead was overapplied by $6,000.Any underapplied or overapplied manufacturing overhead is
closed out to cost of goods sold.
How much is the adjusted cost of goods sold on the Schedule of Cost of Goods Sold?
A) $123,000
B) $171,000
C) $136,000
D) $117,000
203) Dacosta Corporation had only one job in process on May 1. The job had been charged with
$1,800 of direct materials, $6,966 of direct labor, and $9,936 of manufacturing overhead cost. The
company assigns overhead cost to jobs using the predetermined overhead rate of $18.40 per direct
labor-hour.
During May, the following activity was recorded:
Raw materials (all direct materials):
Beginning balance
$
8,500
Purchased during the month
$
38,000
Used in production
$
39,300
Labor:
Direct labor-hours worked during the month
1,900
Direct labor cost incurred
$
24,510
Actual manufacturing overhead costs incurred
$
33,300
Inventories:
Raw materials, May 30
?
Work in process, May 30
$
16,937
Work in process inventory on May 30 contains $3,741 of direct labor cost. Raw materials consist
solely of items that are classified as direct materials.
The balance in the raw materials inventory account on May 30 was:
A) $7,200
B) $1,300
C) $29,500
D) $30,800
226
204) Dacosta Corporation had only one job in process on May 1. The job had been charged with
$1,800 of direct materials, $6,966 of direct labor, and $9,936 of manufacturing overhead cost. The
company assigns overhead cost to jobs using the predetermined overhead rate of $18.40 per direct
labor-hour.
During May, the following activity was recorded:
Raw materials (all direct materials):
Beginning balance
$
8,500
Purchased during the month
$
38,000
Used in production
$
39,300
Labor:
Direct labor-hours worked during the month
1,900
Direct labor cost incurred
$
24,510
Actual manufacturing overhead costs incurred
$
33,300
Inventories:
Raw materials, May 30
?
Work in process, May 30
$
16,937
Work in process inventory on May 30 contains $3,741 of direct labor cost. Raw materials consist
solely of items that are classified as direct materials.
The cost of goods manufactured for May was:
A) $97,110
B) $110,600
C) $98,770
D) $100,535
228
205) Dacosta Corporation had only one job in process on May 1. The job had been charged with
$1,800 of direct materials, $6,966 of direct labor, and $9,936 of manufacturing overhead cost. The
company assigns overhead cost to jobs using the predetermined overhead rate of $18.40 per direct
labor-hour.
During May, the following activity was recorded:
Raw materials (all direct materials):
Beginning balance
$
8,500
Purchased during the month
$
38,000
Used in production
$
39,300
Labor:
Direct labor-hours worked during the month
1,900
Direct labor cost incurred
$
24,510
Actual manufacturing overhead costs incurred
$
33,300
Inventories:
Raw materials, May 30
?
Work in process, May 30
$
16,937
Work in process inventory on May 30 contains $3,741 of direct labor cost. Raw materials consist
solely of items that are classified as direct materials.
The entry to dispose of the underapplied or overapplied manufacturing overhead cost for the
month would include a:
A) credit of $5,336 to Manufacturing Overhead.
B) credit of $1,660 to Manufacturing Overhead.
C) debit of $5,336 to Manufacturing Overhead.
D) debit of $1,660 to Manufacturing Overhead.
206) Koczela Inc. has provided the following data for the month of May:
Inventories:
Beginning
Ending
Work in process
$
17,000
$
12,000
Finished goods
$
46,000
$
50,000
Additional information:
Direct materials
$
57,000
Direct labor cost
$
87,000
Manufacturing overhead cost incurred
$
63,000
Manufacturing overhead cost applied to Work in Process
$
61,000
Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.
The cost of goods manufactured for May is:
A) $205,000
B) $210,000
C) $207,000
D) $212,000
Direct materials
$
Direct labor
Manufacturing overhead
Total manufacturing costs
205,000
Add: Beginning work in process
222,000
Deduct: Ending work in process
Cost of goods manufactured
$
210,000
231
207) Koczela Inc. has provided the following data for the month of May:
Inventories:
Beginning
Ending
Work in process
$
17,000
$
12,000
Finished goods
$
46,000
$
50,000
Additional information:
Direct materials
$
57,000
Direct labor cost
$
87,000
Manufacturing overhead cost incurred
$
63,000
Manufacturing overhead cost applied to Work in Process
$
61,000
Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.
The adjusted cost of goods sold that appears on the income statement for May is:
A) $206,000
B) $214,000
C) $208,000
D) $210,000
208) Chavez Corporation reported the following data for the month of July:
Inventories:
Beginning
Ending
Raw materials
$
27,000
$
30,000
Work in process
$
16,000
$
17,000
Finished goods
$
32,000
$
47,000
Additional information:
Raw materials purchases
$
66,000
Direct labor cost
$
91,000
Manufacturing overhead cost incurred
$
59,000
Indirect materials included in manufacturing
overhead cost incurred
$
8,000
Manufacturing overhead cost applied to Work in Process
$
58,000
Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.
The direct materials cost for July is:
A) $55,000
B) $69,000
C) $63,000
D) $66,000
Raw materials inventory, beginning
$
27,000
Add: Purchases of raw materials
66,000
Total raw materials available
93,000
Deduct: Raw materials inventory, ending
30,000
Raw materials used in production
63,000
Deduct: Indirect materials included in manufacturing
overhead
8,000
Direct materials
$
55,000
234
209) Chavez Corporation reported the following data for the month of July:
Inventories:
Beginning
Ending
Raw materials
$
27,000
$
30,000
Work in process
$
16,000
$
17,000
Finished goods
$
32,000
$
47,000
Additional information:
Raw materials purchases
$
66,000
Direct labor cost
$
91,000
Manufacturing overhead cost incurred
$
59,000
Indirect materials included in manufacturing
overhead cost incurred
8,000
Manufacturing overhead cost applied to Work in Process
$
58,000
Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.
The cost of goods manufactured for July is:
A) $203,000
B) $215,000
C) $204,000
D) $216,000
236
210) Chavez Corporation reported the following data for the month of July:
Inventories:
Beginning
Ending
Raw materials
$
27,000
$
30,000
Work in process
$
16,000
$
17,000
Finished goods
$
32,000
$
47,000
Additional information:
Raw materials purchases
$
66,000
Direct labor cost
$
91,000
Manufacturing overhead cost incurred
$
59,000
Indirect materials included in manufacturing
overhead cost incurred
8,000
Manufacturing overhead cost applied to Work in Process
$
58,000
Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.
The adjusted cost of goods sold that appears on the income statement for July is:
A) $218,000
B) $188,000
C) $203,000
D) $189,000
211) Jaquish Inc. has provided the following data for the month of January. There were no
beginning inventories; consequently, the direct materials, direct labor, and manufacturing
overhead applied listed below are all for the current month.
Work In
Process
Finished
Goods
Cost of Goods
Sold
Total
Direct materials
$
2,440
$
7,800
$
37,900
$
48,140
Direct labor
3,190
12,480
60,640
76,310
Manufacturing overhead
applied
3,200
6,400
30,400
40,000
Total
$
8,830
$
26,680
$
128,940
$
164,450
Manufacturing overhead for the month was underapplied by $6,000.
The company allocates any underapplied or overapplied manufacturing overhead among work in
process, finished goods, and cost of goods sold at the end of the month on the basis of the overhead
applied during the month in those accounts.
The finished goods inventory at the end of January after allocation of any underapplied or
overapplied manufacturing overhead for the month is closest to:
A) $25,720
B) $27,653
C) $25,707
D) $27,640
212) Jaquish Inc. has provided the following data for the month of January. There were no
beginning inventories; consequently, the direct materials, direct labor, and manufacturing
overhead applied listed below are all for the current month.
Work In
Process
Finished
Goods
Cost of Goods
Sold
Total
Direct materials
$
2,440
$
7,800
$
37,900
$
48,140
Direct labor
3,190
12,480
60,640
76,310
Manufacturing overhead
applied
3,200
6,400
30,400
40,000
Total
$
8,830
$
26,680
$
128,940
$
164,450
Manufacturing overhead for the month was underapplied by $6,000.
The company allocates any underapplied or overapplied manufacturing overhead among work in
process, finished goods, and cost of goods sold at the end of the month on the basis of the overhead
applied during the month in those accounts.
The journal entry to record the allocation of any underapplied or overapplied manufacturing
overhead for January would include the following:
A) credit to Work in Process of $480
B) debit to Work in Process of $8,830
C) debit to Work in Process of $480
D) credit to Work in Process of $8,830
Work in Process (8% × $6,000)
Finished Goods (16% × $6,000)
Cost of Goods Sold (76% × $6,000)
Manufacturing Overhead