The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system.

	April 30	May 31
Inventories
Raw materials	$40,000	$51,000
Work in process	9,400	20,900
Finished goods	63,000	33,600
Activities and information for May
Raw materials purchases (paid with cash)		184,000
Factory payroll (paid with cash)		150,000
Factory overhead
Indirect materials		11,000
Indirect labor		34,500
Other overhead costs		101,000
Sales (received in cash)		1,800,000
Predetermined overhead rate based on direct
labor cost		55%

Compute the following amounts for the month of May using T-accounts

1. Cost of direct materials used.

2. Cost of direct labor used.

3. Cost of goods manufactured.

4. Cost of goods sold.

5. Gross profit.

6. Overapplied or underapplied overhead.

 

Answer rating: 100% (QA)

1 Cost of direct materials used 2 Cost of direct Labouy 150000 345... View the full answer