Fisher Corporation uses a predetermined overhead rate based on direct labor cost to apply manufacturing overhead to jobs. The following information about Fisher Corporation's Work in Process inventory account has been provided for the month of May: May 1 balance$26,000Debits During May: Direct Materials$40,000Direct Labor$50,000Manufacturing Overhead$37,500 During the month, Fisher Corporation's Work in Process inventory account was credited for $120,500, which represented the Cost of Goods Manufactured for the month. Only one job remained in process on May 31; this job had been charged with $9,600 of applied overhead cost. The amount of direct materials cost in the unfinished job would be: (Round your intermediate calculations to 2 decimal places.)
A. $16,700
B. $10,600
C. $23,400
D. $12,800
Answer: B
You might also like to view...
The dynamic gains from trade include all of the following EXCEPT
a. economies of large-scale production resulting in decreasing unit cost. b. increased saving and investment resulting in economic growth. c. increased competition resulting in lower prices and wider range of output. d. increasing comparative advantage leading to specialization.
Which of the following costs would be relevant in short-term decision making?
a. incremental fixed costs b. all costs of inventory c. total variable costs that are the same in the considered alternatives d. the cost of a fixed asset that could be used in all the considered alternatives
Freida and Gail enter into a bilateral contract, which is created when Freida gives a promise in exchange for Gail's
A. payment of money only. B. performance of a particular act only. C. promise only. D. prudent awareness only.
Explain the concept and significance of identification of goods. Discuss how identification takes place.
What will be an ideal response?