Answer:
Thus, Work in process inventory (Ending) = $23,840
Explanation:
Below is the Schedule of Cost of Goods Manufactured:
Cost of materials requisitioned = 51,200
Manufacturing overhead applied = 92,640
Direct materials used = 46,700
Indirect materials = 4,500
Direct labor = 77,200
Total manufacturing cost = 216,540
Work in process inventory, beginning = 30,300
Work in process inventory, ending = 23,840
Cost of goods manufactured = 223,000
Applied Manufacturing overhead = Direct labor cost x 120%
= 77,200 x 120%
Applied Manufacturing overhead= $92,640
Cost of manufactured goods = Total manufacturing cost + Work in process inventory (beginning) - Work in process inventory (Ending)
223,000 = 216,540+30,300 - Work in process inventory (Ending)
Work in process inventory (Ending) = (216,540 +30,300) - 223,000
= 246,840 - 223,000
= 23,840
Thus, Work in process inventory (Ending) = $23,840
Answer:
23100
Explanation:
To get to this answer we must use process costing and we will begin by explaining what it is first.
A process costing system is used in industries where masses of similar products or services are produced. Products are produced in the same manner and consume the same amount of direct cost overheads.it is therefore unnecessary to assign costs to individual units of outputs for that period.
The term work-in-progress (WIP) is a production and supply-chain management term describing partially finished goods awaiting completion. WIP refers to the raw materials, labour, and overhead costs incurred for products that are at various stages of the production process
Manufacturing cost is the sum of costs of all resources consumed in the process of making a product. The manufacturing cost is classified into three categories: direct materials cost, direct labour cost and manufacturing overhead.
Direct materials are raw materials that are made into finished products. These are not materials that are used in the production process. Direct materials are goods that physically become the finished product at the end of the manufacturing process.
Direct labour cost is a part of wage-bill or payroll that can be specifically and consistently assigned to or associated with the manufacture of a product, a work order, or provision of a service.
23,100
Explanation:
Beginning WIP---------------------------------------30,400
Add: Total manufacturing costs
Direct materials used
(51,100 - 4,500) ----------------------46,600
Direct labour----------------------------77,000
Overhead (120% x 77,000) --------92,400-----216,000
Total cost in work in process--------------------246,400
Less; Ending WIP--------------------------------------? -----
Cost of goods manufactured--------------------223,300
Ending WIP = 246,400 - 223,300 = 23,100
