Calculation of Inventory value and total manufacturing cost.
The following information has been taken from the perpetual inventory system of Select Mfg. Co. for the month ended August 31:
|
Purchases of direct materials
|
$50,000
|
|
Direct materials used
|
40,000
|
|
Direct labor costs assigned to production
|
15,000
|
|
Manufacturing overhead costs incurred (and applied)
|
25,000
|
|
Balances in inventory
|
Aug 31
|
Aug 1
|
|
Materials
|
$ ?
|
$15,000
|
|
Work-in-Progress
|
55,000
|
37,000
|
|
Finished Goods
|
50,000
|
33,000
|
What is the total amount of inventory to be included in Select's August 31st balance sheet?
What are the total manufacturing costs charged (debited) to Work-in-Process during August?