Reference no: EM132886228
Question - Bakerston Company is a manufacturing firm that uses job-order costing. The company's inventory balances were as follows at the beginning and end of the year:
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Beginning Balance
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Ending Balance
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Raw materials
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$11,400
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$15,600
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Work in process
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$32,200
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$14,500
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Finished goods
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$105,000
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$120,000
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The company applies overhead to jobs using a predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that it would work 17,600 machine-hours and incur $264,000 in manufacturing overhead cost. The following transactions were recorded for the year:
Raw materials were purchased, $411,000.
Raw materials were requisitioned for use in production, $406,800 ($380,000 direct and $26,800 indirect).
The following employee costs were incurred: direct labor, $337,000; indirect labor, $74,000; and administrative salaries, $158,000.
Selling costs, $112,000.
Factory utility costs, $28,000.
Depreciation for the year was $122,000 of which $111,000 is related to factory operations and $11,000 is related to selling, general, and administrative activities.
Manufacturing overhead was applied to jobs. The actual level of activity for the year was 14,200 machine-hours.
Sales for the year totaled $1,290,000.
Required - Make schedule of cost of goods manufactured in good form.