The Following Information Is Available for the Petree Corporation for Last

question 88

Essay

The following information is available for the Petree Corporation for last year:
• Raw materials inventory decreased $4,000 from the beginning of the year to the end of the year.
• Raw materials inventory on December 31(end of year) was 50% of raw materials inventory on January 1 (beginning of year).
• Beginning work in process inventory was $145,000.
• Ending finished goods inventory was $65,000.
• Purchases of direct materials were $154,700.
• Manufacturing overhead was 50% of the cost of direct labour.
• Total manufacturing costs incurred were $246,400, 80% of cost of goods manufactured and $156,000 less than cost of goods sold.
Compute:
a) Finished goods inventory on January 1(beginning of year)
b) Work in process inventory on December 31(end of year)
c) Direct labour incurred
d) Manufacturing overhead incurred
e) Direct materials used
f) Raw materials inventory on January 1(beginning of year)
g) Raw materials inventory on December 31(end of year)
Note to students: The solutions to this problem are not necessarily calculated in alphabetical order.

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Definitions:

Esteem

The regard in which an individual or entity is held by others, often reflecting respect, admiration, or importance.

Cognitive Component

Part of an attitude that consists of a person's knowledge and perception of the attributes of an object or concept.

Altering

The process of making changes to something, often to tailor or modify it to fit a particular need or requirement.

Perception

The process by which individuals select, organize, and interpret sensory information to form a meaningful picture of the world.