Wayne applies manufacturing overhead cost to jobs based on


1. Wayne Company's beginning and ending inventories for the month of June were as follows: June 1 June 30
Work in progress $145,000 171,000
Finished Goods 85,000 78,000

Production data for the month follow:

  • Direct labor cost incurred $200,000
  • Direct labor hours 25,000
  • Actual manufacturing overhead cost incurred 132,000
  • Direct Materials 170,000

Wayne applies manufacturing overhead cost to jobs based on direct labor-hours, and the predetermined rate is $5.75 per direct labor-hour. The company does not close under applied or over applied manufacturing overhead to Cost of Goods Sold until the end of the year. What is the amount of cost of goods manufactured?

  • $508,750
  • $502,000
  • $585,000
  • $487,750

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Accounting Basics: Wayne applies manufacturing overhead cost to jobs based on
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