Dapper Company had only one job in process on May 1. The job had been charged with $3,400 of direct materials, $4,640 of direct labor, and $9,200 of manufacturing overhead cost. The company assigns overhead cost to jobs using the predetermined overhead rate of $23.00 per direct labor-hour. During May, the activity was recorded:
|
Raw materials (all direct materials): |
|
|
Beginning balance |
$8,500 |
|
Purchased during the month |
$42,000 |
|
Used in production |
$48,500 |
|
Labor: |
|
|
Direct labor-hours worked during the month |
2,200 |
|
Direct labor cost incurred |
$25,520 |
|
Actual manufacturing overhead costs incurred |
$52,800 |
|
Inventories: |
|
|
Raw materials, May 30 |
? |
|
Work in process, May 30 |
$32,190 |
Work in process inventory on May 30 contains $7,540 of direct labor cost. Raw materials consist solely of items that are classified as direct materials. The cost of goods manufactured for May was:
A) $109,670
B) $124,620
C) $143,300
D) $126,820