(solution) I need help with a couple accounting questions 1. Determine the

(solution) I need help with a couple accounting questions 1. Determine the

I need help with a couple accounting questions

1. 

  • Determine the Allocated Factory Overhead cost for the month of August for Ford using the following information. The allocation base is direct labor costs.

Estimated Direct Labor Used yearly: $125,000

Estimated Indirect Costs (factory overhead) yearly: $62,500

Direct Labor Used during August: $55,000           

2.

  • Wilson Sports manufactures leather footballs in their factory. Identify each of the following as a Direct Material, Direct Labor or Factory Overhead example for Wilson’s football production:
    • Thread for footballs                                                                                  Direct Material
    • Employee putting completed footballs in a box                                   ________
    • Factory foreman’s salary                                                                        ________
    • Leather for footballs                                                                                 ________
    • Factory utilities                                                                                           ________

3. 

  • Compute Cost of Goods Manufactured using the following information:

Direct Materials Used:  $30,000                                        

Factory (Manufacturing) Overhead: $4,000          

Beginning Work in Process Inventory: $10,000             

Ending Work in Process Inventory: $3,000

Direct Labor: $20,000                                                          

Finished Goods Inventory: $13,000