Reference no: EM133099245
Question 1 - You are the cost accountant of Brother Inc., a furniture manufacturer. Brother uses Material DCP-T710W which costs P8.00. The following transaction took place during the month of July 20 for receipts, issuances, and return of material DCP-T710W. The reorder point is 600 units while the reorder quantity is 1,200 units:
July 1
|
Beginning Balance
|
560
|
July 4
|
PO 310
|
1,300
|
July 10
|
R41
|
250
|
July 15
|
R49
|
1,150
|
July 16
|
RM48
|
220
|
July 19
|
R58
|
120
|
July 23
|
PO351
|
1,300
|
July 27
|
RS024
|
100
|
July 29
|
R61
|
620
|
July 30
|
RM56
|
150
|
Required - Determine the ending balance of Material DCP-T710W by updating its material ledger card.
Question 2 - ABC Manufacturing Company provided the following data on April 30, 2019:
April factory overhead
|
P30,101.80
|
Decrease in ending inventory
|
|
Materials
|
2,430
|
Work in Process
|
590
|
Increase in ending inventory
|
|
Finished goods
|
1,320.40
|
The factory overhead amounts to 50% of the direct labor while the conversion cost amounts to 50% of the total manufacturing costs. What is the cost of goods manufactured?
Question 3 - The following data pertain to Alpha Company for the month of June 2019.
Finished Goods, June 1, 2019
|
P290,540
|
Finished Goods, June 30, 2019
|
276,760
|
Cost of Goods Manufactured
|
805,820
|
Recovery Inventory write down
|
10,720
|
Determine the cost of goods sold to be shown in the statement of comprehensive income of Alpha Company for the month of June 2019.
Question 4 - The purchasing manager asked you (being the cost accountant of XYZ Company) to calculate the total ordering and carrying costs of Material 123 to help him determine the economic order quantity. Based on your verification, you found out that the company orders 10,000 units for a one-year supply. Material 123 costs P1 per unit. The ordering cost is P500 while the cost to carry the inventory is 20% of the material costs. Determine the total ordering and carrying costs of Material 123.
Question 5 - You are employed as a cost accounting supervisor at Maria Plastic Company which presented the following data for the month of May 2019:
Finished Goods, May 1, 2019 P129,640
Finished Goods, May 31, 2019 142,840
Cost of Goods Manufactured 395,440
Loss on inventory write-down 9,740
Determine the cost of goods sold to be shown in the statement of comprehensive income for the month of May 2019.