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EXERCISE 3-6Applying overhead Cost of Good Manufactured

Q.1 Compute the amount of under or overapplied overhead cost for the year.

Overhead applied to Predetermined Amount of the allocation


a particular job = overhead rate X base incurred by the job.

= $25 x 19,400
= $485,000

Actual cost = $473,000

Underapplied = $12000
Q.2 Prepare the schedule of cost of goods manufactured for the year.

Raw Material, beginning $20,000


( + ) Purchase of Raw Material $400,000
Total Raw Material available $420,000
( - ) Raw Material, ending $30,000
Raw Material used in production $390,000
Indirect Material $15,000 $375,000

Direct Labor $60,000


Total Manufacturing Overhead $435,000
Work in Process, beginning $40,000
$475,000
( - ) Work in Process, ending $70,000
Cost of Good Manufactured $405,000

Disediakan Oleh;

Ahli Kumpulan:
Mohd Ismail Bin Mat Daud
Mohd Shafiq Bin Shukor
Azuan Bin Amran
Wan Mohd Khairul bin Wan Md Ghazali

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