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1.During the month of July, direct labor cost totaled P12, 000 and direct labor cost...

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Accounting

1.During the month of July, direct labor cost totaled P12, 000 and direct labor cost was 30% of prime cost. If total manufacturing costs during July were P86, 000, the manufacturing overhead was:

a.P46, 000

b.P40, 000

c.P28, 000

d.P74, 000

2.The manufacturing overhead amounts to 50% of the direct labor, and the direct labor and manufacturing overhead combined equal 50% of the total cost of manufacturing. All materials are purchased FOB shipping point

What is the cost of goods manufactured?

a.P180, 610. 80

b.P182, 300. 00

c.P181, 200. 80

d.P183, 200. 80

The Apple Manufacturing Company manufactures a product exclusively to customer order, employing a job order cost system.

On August 1, 2008, its work in process inventory (5 partially completed jobs) had a cost of P3, 000. During August, no additional orders were put into production and 18 orders were completed (total cost, P24, 000) of which 14 (cost P20, 000) were shipped.

Materials requisition in August totalled P17, 000 and direct labor costs were P8, 000. At the beginning of the year 2008, a predetermined overhead rate of 150% of expected direct labor cost was established.

3.The August 31, 2008 work in process inventory is:

a.P4, 000

b.P16, 000

c.P14, 000

d.20, 000

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