Respuesta :
Solution :
The cost of the manufactured goods = cost of the available goods for sale - beginning of finished goods
= 964,000 - 122,000
= $ 842,000
Total cost of manufacturing = cost of the goods manufactured + ending work in process - beginning work in process
= 842,000 + 49,000 - 73,000
= $ 818,000
The direct material used = 84,000 + 331,000 - 47,000
= $ 368,000
Now, the direct materials used + direct labor cost + factory overhead applied = the total material cost
368,000 + direct labor cost + 125% of direct labor = 818,000
225% of the direct labor cost = 818,000 - 368,000
= $ 450,000
Direct labor = [tex]$\frac{450,000}{225}$[/tex]% = $ 200,000
Therefore the factory overhead applied = 200,000 x 125%
= [tex]$\$ 250,000$[/tex]
The underapplied overhead = [tex]$\text{actual overhead} - \text{applied overhead}$[/tex]
= [tex]$\$ \ 260,000 - \$ \ 250,000$[/tex]
= $ 10,000
