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The Milo Company's Records for May Contain the Following Information

question 14

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The Milo Company's records for May contain the following information:
 Actual direct labour hours 9,000 hours  Actual direct labour cost $47,000 Direct material purchased $16,000 Direct material used $14,000 Cost of goods sold $100,000 Overapplied overhead $5,000\begin{array}{|l|r|}\hline \text { Actual direct labour hours } & 9,000 \text { hours } \\\hline \text { Actual direct labour cost } & \$ 47,000 \\\hline \text { Direct material purchased } & \$ 16,000 \\\hline \text { Direct material used } & \$ 14,000 \\\hline \text { Cost of goods sold } & \$ 100,000 \\\hline \text { Overapplied overhead } & \$ 5,000 \\\hline\end{array}
Ending inventories:
 Raw materials $30,000 Work in process 50,000 Finished goods 70,000\begin{array}{|l|r|}\hline \text { Raw materials } & \$ 30,000 \\\hline \text { Work in process } & 50,000 \\\hline \text { Finished goods } & 70,000 \\\hline\end{array}
The company uses a predetermined overhead rate of $5.00\$ 5.00 per direct labour hour to apply manufacturing overhead to jobs.
-What was the total cost added to Work in Process during May?


Definitions:

Investment Opportunity

A financial investment or venture that has the potential to yield returns or profits to the investor.

Company

A business or association of persons engaged in commercial, industrial, or professional activities, either incorporated or unincorporated.

Return on Investment (ROI)

A measure of the profitability of an investment, expressed as a percentage of the initial amount invested.

Division's

Relates to a separate part of a larger organization, typically responsible for a specific operation or function.

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