Davidson Outdoor Equipment Company manufactures kayaks in a wide variety of lengths and styles. The following incomplete ledger accounts refer to transactions that are summarized for August:

In addition, the following information is available:a. Materials and direct labor were applied to six jobs in August:

b. Factory overhead is applied to each job at a rate of 50% of direct labor cost.c. The August 1 Work in Process balance consisted of two jobs, as follows:

d. Customer jobs completed and units sold in August were as follows:

Instructions1. Determine the missing amounts associated with each letter. Provide supporting calculations by completing a table with the following headings:

2. Determine the August 31 balances for each of the inventory accounts and factoryoverhead.

Transcribed Image Text:

Materials Aug. 1 31 Balance 32,000 Aug. 31 Requisitions (A) Purchases 150,000 Work in Process Aug. 31 (C) (D) (E) Aug. 1 31 Balance (B) Completed jobs (F) Materials Direct labor 31 31 Factory overhead applied Finished Goods Aug. 1 31 Balance Aug. 31 (F) Cost of goods sold (G) Completed jobs Wages Payable Aug. 31 Wages incurred 120,000 Factory Overhead Aug. 31 Factory.overhead applied Aug. 1 31 Balance 8,000 (E) (H) Indirect labor 31 Indirect materials 4,500 Other overhead 31 51,500