Materials purchased, Cost Accounting

The Clash Company uses Normal Job-Order Costing in its individual production department.  Overhead is applied to jobs by a predetermined rate, which is depend on machine hours.  The Company started business on December 1, 2011.  The only job began into process during December was Job 45.  During December the Company purchased direct materials with a total cost of $15,000.  Of this total for direct materials, $2,500 was used on Job 45.   The Company also charged a total of $7,500 in conversion costs (direct labor + overhead) to Job 45 during December.  Job 45 was NOT finished as of the finished of December and no other jobs were worked on during the month.  There was no underapplied or overapplied overhead for December.  

The following transactions happend during 2012.

1.      Estimated overhead for 2012 is $384,000. The estimated machine hours for 2012 total 24,000.

2.      Direct materials purchased during 2012 cost a total of $150,000.


Task:

A.    Compute the ending balances in Materials Inventory and Work In Process Inventory as of December 31, 2011.
B.    Without preparing a schedule, what is the Cost of Good Manufactured for December 2011?

Posted Date: 3/20/2013 5:56:26 AM | Location : United States







Related Discussions:- Materials purchased, Assignment Help, Ask Question on Materials purchased, Get Answer, Expert's Help, Materials purchased Discussions

Write discussion on Materials purchased
Your posts are moderated
Related Questions
1.Assume that Abel business corporation is purchasing new equipment, for 350,000$ at the beginning of 2014. Assume that Abel business corporation is in the 30% corporate tax bracke

Time Keeping - Cost Accumulation A labour cost control routine should ensure that payments are paid only to employees who have spent time at the work place and that payments a

The sale turnover and profit during two period were as following Period 1=Sales Rs.20 Laks, and Profit Rs.2 Laks Period 2=Sales Rs.30 Laks, and Profit Rs.4.Laks Calculate P/V Ratio

A college currently measures its performance by comparing the actual costs against its budgeted costs for the year.Now that the college is facing increased competition from Various

Assumptions of CVP This chapter has given information on how to apply CVP for the business analysis. Most of this analysis is keyed to the model of how profitability is impacte

The Smiths have a long-term capital loss carryover of $10,000 from 2010. On May 9, 2007, David's uncle, Joe, gave him the family antique gun collection. Based on family records

annual usage rs 160000@ 40 per unit, cost of placing and receiving one order rs 200:annual carrying cost ; 25% of inventory value

Bentley Plastics Ltd. Has annual fixed cost of $450,000, variable costs of $15 per unit and a contribution rate of 40% a.    What annual revenue is required to break even? b.

Describe the concept of full cost recovery with illustrative examples.

A company started with $0 in direct materials, purchased $5,000 of materials, and ended with $300 in materials. Direct labor equaled $4,000. The applied overhead for the period was