Question

Crunchem Cereal Company incurred the following actual costs during 20x4.
Direct material used..................................................................$412,500
Direct labor............................................................................... 180,000
Manufacturing overhead.......................................................... 378,000
The firm’s predetermined overhead rate is 210 percent of direct-labor cost. The January 1 inventory balances were as follows:
Raw material........................................................................... $45,000
Work in process........................................................................ 58,500
Finished goods......................................................................... 63,000
Each of these inventory balances was 10 percent higher at the end of the year.

Required:
1. Prepare a schedule of cost of goods manufactured for 20x4.
2. What was the cost of goods sold for the year?
3. Build a spreadsheet: Construct an Excel spreadsheet to solve all of the preceding requirements. Show how the solution will change if the following data change: direct material used amounted to $409,000 and raw-material inventory on January 1 was $43,000.



$1.99
Sales3
Views547
Comments0
  • CreatedApril 22, 2014
  • Files Included
Post your question
5000