managerial accounting 2402 help 453024

Lyster Inc. has provided the following data for the month of August. There were no beginning inventories; consequently, the direct materials, direct labor, and manufacturing overhead applied listed below are all for the current month.

	Work in Process	Finished Goods	Cost of Goods Sold	Total
Direct materials	$2,820	$17,650	$44,060	$64,530
Direct labor	1,950	16,300	42,280	60,530
Manufacturing overhead applied	1,940	9,940	26,920	38,800
Total	$6,710	$43,890	$113,260	$163,860

Manufacturing overhead for the month was underapplied by $1,400.
The company allocates under applied manufacturing overhead among work in process, finished goods, and cost of goods sold at the end of the month on the basis of the overhead applied during the month in those accounts.
The work in process inventory at the end of August after allocation of under applied manufacturing overhead for the month is:

	$6,705
	$6,700
	$6,780
	$6,775

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