Ending Work In Process Inventory Problem
Hi,
I have the following problem:
WIP Inventory
Beg Balance 6000
Transferred Out 122405
Materials Added 62000
Labour (10000DLH) 50000
Applied Overhead 54000
Ending Balance 23000
Manufacturing OH is applied based on DLH. Only WIP left at the end of the month is 1240 DLH accumulated to date.
1. What is the Predetermined Overhead Rate?
I figure this would be solved by dividing the applied overhead by the direct labour hours left at the end of the month and my answer is... 58.39 per DLH.
2. What is the amount of material included in EWIP Inventory?
I take the BWIP + Materials Added - EWIP and my answer is 45000.
3. What is the amount of labour included in EWIP Inventory?
1240?
4. what is the amound of overhead included in EWIP Inventory?
I'm not sure how to calculate this...