Answer:
Materials inventory on December 1 recorded at $9,900
Direct Labor recorded at $40,040
Factory Overhead noted at $60,060
Cost of goods sold was $117,000
Explanation:
Materials inventory on December 1 equals $9,900
Direct materials acquired total 28,000
Materials inventory by December 31 amounts to $15,000
Direct materials utilized is 22,900
Direct Labor summed to $40,040
Factory Overhead totaled $60,060
Conversion Costs total $100,100
Overall Manufacturing Costs amounted to $123,000
Work in process inventory has risen by $12,000
Cost of goods manufactured is reported at $135,000
Finished goods inventory has decreased by $18,000 over the year
Cost of goods sold is $117,000
Calculating
Conversion costs are calculated as = Direct Labor + Factory Overhead
100,100 = 100 % + 150%
100,100= 100x + 150x
100,100= 250 x
x= 100,100/250
x= 400.4
Direct Labor = 100% * 400.4= $ 40,040
Factory Overhead = 150% * 400.4= $ 60,060
