Direct labor cost applied to production $ 200,000 Cost of finished goods manufactured $ 750,000
Manufacturing overhead during production was $ 250,000. What was the work in process inventory on hand at the end of the year?
2.) Walsh Corp. uses direct labor hours to determine their applied manufacturing overhead. They use a rate of $ 30 per direct labor hour. During the production period, company employees worked 10,000 direct labor hours, and had actual overhead costs of $ 305,000.
a.) Record the year-end journal entry to close out the Manufacturing Overhead account to the Cost of Goods Sold account.
b.) Was manufacturing overhead underapplied or was it overapplied?
3.) Sorin Corp. uses process costing for its two production departments: Cutting and Painting. The company’ s manufacturing information for the month of August is provided below:
Cutting Painting Beginning work in process $ 1,000