Question: The question is also asking to break down where each number comes from, such as direct labor, direct materials, etc. The options are pictured in



The question is also asking to Exercise 9-47 (Algo) Activity-Based Costing: Cost Flows through T-Accounts (LO 9-5, 7) LaFontaine Accessories makes a variety of computer bags, carrier bags, and so on. La Fontaine uses acthity-based costing foc its products. The production manager has identified the following cost divers and rates for overhead. The manufacturing facility at LaFontaine never has any work-in-process at the end of the month. Direct materials costs were $910,000 and direct labor costs were $895,000 during January, when the manufacturing facility made 750 inspections, had 36 setups, and ran the machines for 18,000 hours. Required: Use T-accounts to show the flow of materials, labor, and overhead costs from the four overhead activity centers through Work-inProcess inventory and out to Finished Goods inventory. Use the accounts Materials inventory, Wages Payable, Work-in-Process Inventory, Finished Goods inventory, and four overhead applied accounts. Exercise 9-47 (Algo) Activity-Based Costing: Cost Flows through T-Accounts (LO 9-5, 7) LaFontaine Accessories makes a variety of computer bags, carrier bags, and so on. La Fontaine uses acthity-based costing foc its products. The production manager has identified the following cost divers and rates for overhead. The manufacturing facility at LaFontaine never has any work-in-process at the end of the month. Direct materials costs were $910,000 and direct labor costs were $895,000 during January, when the manufacturing facility made 750 inspections, had 36 setups, and ran the machines for 18,000 hours. Required: Use T-accounts to show the flow of materials, labor, and overhead costs from the four overhead activity centers through Work-inProcess inventory and out to Finished Goods inventory. Use the accounts Materials inventory, Wages Payable, Work-in-Process Inventory, Finished Goods inventory, and four overhead applied accounts
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
