Reference no: EM132618682
Question - Beckett Industries has the following beginning and ending inventories for the month of April.
April 1 April 30
Direct materials $67,000 $62,000
Work-in-process 145,000 171,000
Finished goods 85,000 78,000
Production data for the month of April is:
Direct labor $200,000
Actual overhead 132,000
Direct materials purchased 163,000
Transportation in 4,000
Purchase Returns and Allowances 2,000
Beckett uses one overhead control account and charges overhead to production at 70% of direct labor cost. The company does not formally recognize over- or underapplied overhead until year-end.
Required - What is Beckett's cost of goods transferred to finished goods inventory for April?
A) $469,000.
B) $477,000.
C) $495,000.
D) $484,000.
E) None of these answers are correct