Homework SourseCalculate Cost of Goods Sold do not close the over or undera
Calculate Cost of Goods Sold (do not close the over- or under-applied Mfg. Overhead).
Was the overhead underapplied or overapplied? By how much?
Raw materials Work in process Finished goods Beginning Balance $14,000 $27,000 $62,000 Ending Balance $22,000 $9,000 $77,000Solution
For Bakerston Company,
Schedule of cost of goods manufactured.
Overheads are under applied by 231000-222712 = $8288
| Particulars | Calculation | amount ($) |
| Opening stock | ||
| Raw Materials | given | 14000 |
| Work in Progress | given | 27000 |
| Finished goods | given | 62000 |
| Add: raw materials purchased | given | 315000 |
| Add: Direct Labour | given | 377000 |
| Add: Afctory Utility Cost | given | 10000 |
| Add: Depreciation related to factory | given | 120000 |
| Add: Manufacturing Overheads | =231000/33000*31816 | 222712 |
| Less: Closing Stock | ||
| Raw Materials | given | -22000 |
| Work in Progress | given | -9000 |
| Finished goods | given | -77000 |
| Cost of Goods Sold | 1039712 |
