Problem 2 Summit Company provide the cost data for the month of January Inventories: January 1 January 31 Direct materials P30,000 P40,000 WIP P15,000 P20,000 Finished Goods P65,000 P50,000 Factory overhead applied P150,000 Cost of goods manufactured P515,000 Direct materials used P190,000 Actual FOH P144,000 Required: 1. Adjusted COGS if under or over-applied overhead were closed to COGS 2. Adjusted COGS if under or-applied overhead were allocated to inventories and COGS