Question

Question Mode
Multiple Choice Question
Job W Job X Job Y Job Z
Beg. Balance $50 $60 $70 $100
Charged during June:
Direct materials $150 $95 $120 $80
Direct labor $200 $130 $180 $150
Overhead applied $100 $65 $90 $75
Units completed 25 0 50 0
Units in process June 30 0 40 0 60
Units sold during June 10 0 30 0


Based on the table, cost of goods sold for June is Blank______.

Answer 1

To calculate the cost of goods sold (COGS) for June, we first need to determine the total costs for the jobs completed and sold during the month.

**Step 1: Calculate Total Costs for the Completed Jobs**

1. **Job W:**
- Beginning Balance: $50
- Direct Materials: $150
- Direct Labor: $200
- Overhead Applied: $100
- Total Cost: \( 50 + 150 + 200 + 100 = 500 \)
- Units Completed: 25
- Cost per Unit: \( 500 / 25 = 20 \)
- Units Sold: 10
- Cost of Goods Sold for Job W: \( 10 * 20 = 200 \)

2. **Job X:**
- Beginning Balance: $60
- Direct Materials: $95
- Direct Labor: $130
- Overhead Applied: $65
- Total Cost: \( 60 + 95 + 130 + 65 = 350 \)
- Units Completed: 0, so there are no sales.

3. **Job Y:**
- Beginning Balance: $70
- Direct Materials: $120
- Direct Labor: $180
- Overhead Applied: $90
- Total Cost: \( 70 + 120 + 180 + 90 = 460 \)
- Units Completed: 50
- Cost per Unit: \( 460 / 50 = 9.2 \)
- Units Sold: 30
- Cost of Goods Sold for Job Y: \( 30 * 9.2 = 276 \)

4. **Job Z:**
- Beginning Balance: $100
- Direct Materials: $80
- Direct Labor: $150
- Overhead Applied: $75
- Total Cost: \( 100 + 80 + 150 + 75 = 405 \)
- Units Completed: 0, so there are no sales.

**Step 2: Calculate Total COGS for June**

Total COGS = COGS for Job W + COGS for Job Y
Total COGS = \( 200 + 276 = 476 \)

So, the cost of goods sold (COGS) for June is **$476**.