Evaluate the cost of direct materials

Reference no: EM135663

The subsequent information is available for Lock-Down Company, which produces special-order security products and uses a job order cost accounting system.

April 30 May 31

Inventories

Raw materials $ 40,000 $ 50,000

Goods in process 9,600 19,500

Finished goods 60,000 33,200

Activities and information for May

Raw materials purchases (paid with cash) 189,000

Factory payroll (paid with cash) 400,000

Factory overhead

Indirect materials 12,000

Indirect labor 75,000

Other overhead costs 100,500

Sales (received in cash) 1,200,000

Predetermined overhead rate based on direct labor cost 65%

Evaluate the subsequent amounts for the month of May.

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.

Reference no: EM135663

Questions Cloud

Evaluate the amount of the controllable overhead variance : Evaluate the amount of the controllable overhead variance and the overhead applied.

How classical economists explained this business cycle : A business cycle fact is that real wages are pro-cyclical. Using the classical labour market as we have all semester, show and explain how the classical economists explained this business cycle fact.

Evaluate targets accounts receivable turnover : What amount did Target report as accounts receivable, total on its ending 2007 balance sheet and Prepare the entries that Target made in its allowance for doubtful accounts in 2007

What values of py will bob buy only x : Bob consumes two commodities: x and y. For what values of py will Bob buy y, and for what values of py will Bob buy only x?

Evaluate the cost of direct materials : Evaluate the subsequent amounts for the month of May cost of direct materials used and cost of direct labor used.

Evaluate the sales tax on purchase price : One printing press was new, and the other was used by a business that currently filed for bankruptcy. Costs related to new printing press

Tax consequences to subsidiary and parent : Liquidation of Subsidiary - Tax Consequences to Subsidiary and Parent

Firm will ceteris paribus : Price elasticity of demand is 1.5 and a firm raises its price by 20 percent the quantity sold by the firm will ceteris paribus.

Evaluate the total amount of gain : What are Zia's and Jed's bases in their new AlphaBeta stock and evaluate the total amount of gain recognized by Jed, Zia, Alpha, and Beta on the reorganization?

User Account

All Pages