Question

Selected information from the Blake Corporation accounting records for June follows:

Materials Inventory
BB (6/1)	77,000
	449,000	404,000

Work-In-Process Inventory
Labor	275,000
EB(6/30)	420,000

Finished Goods Inventory
BB (6/1)	279,000
	824,000	821,000

Cost of Goods Sold
		12,000

Manufacturing Overhead Control
	219,000
		219,000

Applied Manufacturing Overhead
		231,000
	219,000
	12,000

Additional information for June follows:

• Labor wage rate was $25 per hour.
• During the month, sales revenue was $1,024,000, and selling and administrative costs were $224,000.
• This company has no indirect materials or supplies.
• The company applies manufacturing overhead on the basis of direct labor-hours.  

Required:

a. What was the cost of direct materials purchased in June?

b. What was the over- or underapplied manufacturing overhead for June?

Sched on the Corporation accounting records for new Materials inventory Work in Process Inventory Cost of Goods Sold Finished Goods wery 1000 Manufacturing Overhead Control 21 Applied Manufacturing Overhead 21 DO 13.000 Aaron form - Lawas - Dung the mother 4000, and sergande 1234.000 The components of Spies • The commanding on the basis of rector hours Required a. What was the cost cred materas portasen What was never under ledning var