Instruction : Show your solution PROBLEM 1 The following information was taken from J Company's Ledger: DM
Question:
Instruction: Show your solution
PROBLEM 1
| The following information was taken from J Company's Ledger: | ||
| DM WIP FG | Mar-01 80,000.00 25,000.00 120,000.00 | Mar-31 50,000.00 35,000.00 70,000.00 |
| Factory overhead- P108,000; DL- P120,000; COGS- P378,000 Required: | ||
| 1. How much was the total DM purchased during March 2. Compute for the company's CGM. |
PROBLEM 2
| J Company had these beginning and ending inventories at the end of the current year: | |||
| FG WIP Materials | Beginning 37,500.00 90,000.00 33,000.00 | Ending 27,000.00 72,000.00 45,000.00 | |
| During the year the following transactions occurred: | |||
| Materials purchased IM and supplies purchased DL cost Indirect factory labor Property tax and depreciation on factory building Property tax and depreciation on sales from office (shared equally) Utilities (60% to Factory, 20% to salesroom, 20% to office) IM issued to factory Salesperson's salaries Office salaries Sales on account | 300,000.00 80,000.00 190,000.00 100,000.00 40,000.00 35,000.00 80,000.00 70,000.00 60,000.00 36,000.00 1,095,000.00 | ||
| Factory overhead is applied on the basis of 120% of DL cost. Over or Underapplied FOH is deducted from or added to COGS.
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| Required: 1. How much is the ending balance of the following: | |||
| a. Materials b. Payroll c. WIP d. FG e. COGS f. Selling expense control g. General expense control h. Accounts payable
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| 2. How much is the Net income? | |||
PROBLEM 3
| Cost data on the activities of JV Manufacturing for January are as follows: | ||
| A. Account balances: | Jan-01 | Jan-30 |
| FG WIP DM IM | 45,602.00 61,420.00 10,250.00 5,600.00 | ? 52,800.00 12,700.00 5,280.00 |
| B. Transactions for the month: | ||
| Supplies purchased COGS RM purchased IL Factory heat, light and power Factory rent Factory insurance Sales commissions Administrative expenses Productions supervisor's salary | 17,000.00 290,000.00 110,000.00 22,000.00 11,220.00 18,500.00 2,000.00 48,000.00 25,000.00 5,000.00 | |
| C. 4,250 DL hours were worked during the month. Laborers worked a 40-hour week and are paid P22 per hour for the regular shift and time-and-a-half for each hour of overtime. Of the 4,250 hours, 250 hours were worked in overtime. The company treats the overtime premium as a part of overhead. | ||
| Required: | ||
| 1. Calculate the total FOH incurred 2. Determine the cost of goods manufactured 3. Determine the ending balance in FG
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Expert Answer:
