Question

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Answer 1

11)
Answer is b. $127,000

Schedule of Cost of Goods manufactured
Direct Materials	$            18,000
Direct Labor	$            58,000
Manufacturing Overhead Applied	$            75,000
Total Manufacturing Costs incurred in March	$          151,000
Add : Beginning Work in Process Inventory	$            64,000
Total Manufacturing Costs	$          215,000
Deduct: Ending Work in Process Inventory	$            74,000
Cost of Goods Manufactured	$          141,000
Schedule of Cost of Goods Sold
Finished Goods Inventory, Beginning	$            32,000
Add: Cost of Goods Manufactured	$          141,000
Cost of Goods Available for sale	$          173,000
Deduct : Finished Goods Inventory, Ending	$            40,000
Unadjusted Cost of goods sold	$          133,000
Overapplied Overhead	$             (6,000)
Adjusted Cost of goods sold	$          127,000

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