Lamonda Corp. uses a job order cost system. On April 1, the accounts had balances as shown in the T-accounts below:
The following transactions occurred during April:
(a) Purchased materials on account at a cost of $233,170. (b) Requisitioned materials at a cost of $111,100, of which $15,000 was for general factory use. (c) Recorded factory labor of $225,400, of which $43,675 was indirect. (d) Incurred other costs:
Selling expense
$
35,300
Factory utilities
24,500
Administrative expenses
50,850
Factory rent
11,100
Factory depreciation
19,400
(e) Applied overhead at a rate equal to 130 percent of direct labor cost. (f) Completed jobs costing $263,750. (g) Sold jobs costing $324,370. (h) Recorded sales revenue of $502,000.
Required: 1. & 2. Post the April transactions to the T-accounts and compute the balance in the accounts at the end of April. (Round your answers to 2 decimal places.)
(please follow the same setup as these. I do not need journal entries with acc. payable, etc.)
Raw Materials Inventory Work in Process Inventory Beg. Bal. 28,400.00 Beg. Bal. 19,500.00 End. Bal. End. Bal. Finished Goods Inventory Manufacturing Overhead Beg. Bal. 125,000.00 Beg. Bal. End. Bal End. Bal. Cost of Goods Sold Sales Revenue Beg. Bal. Beg. Bal. End. Bal. End. Bal. Selling and Administrative Expenses Beg. Bal. End. Bal.
3-a. Compute over- or underapplied manufacturing overhead. (Round your answer to 2 decimal places.)
Manufacturing Overhead
3-b. If the balance in the Manufacturing Overhead account is closed directly to Cost of Goods Sold, will Cost of Goods Sold increase or decrease? a.Decrease
b.Increase
4. Prepare Lamondaâs cost of goods manufactured report for April. (Round your answers to 2 decimal places.)
LAMONDA CORP.
Cost of Goods Manufactured Report
For the Month of April
Direct Materials Used
Total Current Manufacturing Costs
$0.00
Cost of Goods Manufactured
5. Prepare Lamondaâs April income statement. Include any adjustment to Cost of Goods Sold needed to dispose of over- or underapplied manufacturing overhead. (Round your answers to 2 decimal places.)
Required: 1. Determine the total of each production cost incurred for April (direct labor, direct materials, and applied overhead), and the total cost assigned to each job (including the balances from March 31).
Job 306
Job 307
Job 308
April Total
From March
Direct Materials
$28,000
$36,000
$64,000
Direct Labor
24,000
15,000
39,000
Applied overhead
12,000
7,500
19,500
Beginning goods in process
For April
Direct Materials
139,000
205,000
100,000
444,000
Direct Labor
103,000
152,000
101,000
356,000
Applied overhead
Total costs added in April
Total costs (April 30)
Status on April 30
Finished (sold)
Finished (unsold)
In process
April 30 cost included in:
Problem 15-1A Part 2
Materials purchases (on credit).
Direct materials used in production.
Direct labor paid and assigned to Work in Process Inventory.
Indirect labor paid and assigned to Factory Overhead.
Overhead costs applied to Work in Process Inventory.
Actual overhead costs incurred, including indirect materials. (Factory rent and utilities are paid in cash.)
Transfer of Jobs 306 and 307 to Finished Goods Inventory.
Cost of goods sold for Job 306.
Revenue from the sale of Job 306.
Assignment of any underapplied or overapplied overhead to the Cost of Goods Sold account. (The amount is not material.)
2. Prepare journal entries for the month of April to record the above transactions.
Problem 15-1A Part 3
3. Prepare a schedule of cost of goods manufactured.
