Started on Tuesday, 7 November 2023, 12:01 PM
State Finished
Completed on Tuesday, 7 November 2023, 1:59 PM
Time taken 1 hour 57 mins
Grade 93.92 out of 100.00
Mzwandile Pty Limited is a manufacturing rm that uses the job costing. The
company’s inventory balances were as follows at the beginning and end of the
year:
1 January 31 January
Direct materials 26 000 30 000
Work in process ? 59 000
Finished goods 124 000 ?
The applies overhead to jobs using a predetermined overhead rate based on
machine hours. At the beginning of the year, the company estimated that it
would work 24 000 machine hours and incur R216 000 in the manufacturing
overhead cost.
The following transactions were recorded for the year.
Direct materials were purchased, R434 000.
The following labour costs were incurred: direct labour R207 000, indirect
labour R79 000, and administrative salaries, R171 000.
Selling costs, R103 000.
Factory utility costs R120 000.
Depreciation for the year was R106 000 of which R97 000 is related to factory
operations and R9 000 is related to selling and administrative activities.
Manufacturing overheads were absorbed to jobs. The actual level of activity for
the year was 25 800 machine hours. Manufacturing overheads are closed off
against cost of goods sold.
Sales for the year amounted to R1 147 000.
Required:
Complete the following statement of goods manufactured and sold by
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