H9 8 9 Ch 19 Micro Home Insert Page Layout Formulas Data Review View Calib 11 General X Cut Paste Format Painter Clipboard R6 A ORA BIU 29 Wrap Test 4Merge Center Alignment $% Insert Diet Format 24 21 Conditional Format Cell Formatting Table Styles Styles Clear Font Number Cells 121,000 1,086,000 828,500 5,000 14 A BC D E H 1 K U M N 1 Name 2 Scenarios Lopez Kayaks makes 3 different models of Kayaks. In mid March Lopez Kayaks stopped production due to the 3 pandemic. Fortunately all of the finished Kayaks had been sold and delivered prior to then end of March, lobs 306 and 4 307 were incomplete. When restrictions were partially lifted in May, Kayak was able to begin production again, working 5 again on Jobs 306 and 307 and start Job 308. The information for Marchand May follows. 6 7 Instructions Check figures: 8 Step 1 Complete the job cost sheets Total Beginning Work in Process inventory in 38 9 Work in process (March Costs): Total cost of jobs in 15 10 Record direct materials Total cost of goods manufactured in H27 11 Record direct labor Underapplied overhead 12 Apply overhead using the predetermined overhead rate. 13 Calculate beginning working process inventory for each job and the total b. Costs added in May 15 Repeat above 16 Calculate total costs added in May 17 Calculate the total cost of all jobs 19 19 Step 2 Complete a Schedule of Costs of Goods Manufactured 20 For the Month ended May 31 21 Use the drop down boxes provided for titles. 22 Step 3 Calculate over or under applied factory overhead 23 Use the T-account to post applied overhead for May (credit) Factory Overhead 24 Reference total May applied overhead in the job cost sheets 25 Use the T-account to post actual overhead for May (debit) Actual 26 Reference the actual amounts in the green data section. amounts amounts > Scenario and Instructions Data Sheets 9 Ready c. Applied Cut Calibri - 11 - A A Wrap Text General F Copy Paste BIU- Insert Del - A - % Merge & Center Cell 9 Format Painter Conditional Format Formatting as Table Styles - Styles Clipboard Font Alignment Number R6 K M N A 16 25 26 BC D E Calculate total costs added in May 17 C. Calculate the total cost of all jobs 18 19 Step 2 Complete a Schedule of Costs of Goods Manufactured 20 For the Month ended May 31 21 Use the drop down boxes provided for titles. 22 Step 3 Calculate over or under applied factory overhead 23 Use the T-account to post applied overhead for May (credit) Factory Overhead 24 Reference total May applied overhead in the job cost sheets Use the T-account to post actual overhead for May (debit) Actual Applied Reference the actual amounts in the green data section. amounts amounts 27 Calculate over or under applied factory overhead 28 Step 4 Calculate gross profit for May 2020 29 Reminder: 30 How does underapplied overhead affect COGS 31 How does overapplied overhead affect COGS 32 3 Overhead Costs Factory Overhoed Balance Overhead is Adjusting Journal Entry Required 34 35 Actual > Applied Debit Underapplied Cost of Goods Sold 6 Factory Overhead 7 Actual