Allocation of student-related costsa $1,350,000 $900,000 $2,250,000 Allocation of credit-hour costsb 803,250 981,750 1,785,000 Allocations $2,153,250 $1,881,750 $4,035,000 a $1,350,000 = 60% x $2,250,000; $900,000 = 40% x $2,250,000. b $803,250 = 45% x $1,785,000; $981,750 = 55% x $1,785,000. 2-58. (continued) b. a 45% = 13,500 credit hours ÷ (13,500 credit hours + 16,500 credit hours) b 55% = 16,500 students ÷ (13,500 credit hours + 16,500 credit hours) c 60% = 900 students ÷ (900 students + 600 students) d 40% = 600 students ÷ (900 students + 600 students) (40 Min.) Find the Unknown Information. a. Finished goods + Cost of goods Cost of = Finished goods – beginning inventory manufactured goods sold ending inventory Finished goods + $88,800 $87,040 = $14,080 – beginning inventory Finished goods = $ 12,320 (= $14,080 $88,800 + $87,040) – beginning inventory b. Direct Total Direct Manufacturing materials + + = manufacturing labor overhead used costs Direct materials + $ 12,160 + $23,040 = $77,600 used Direct materials = $42,400 (= $77,600 $12,160 $23,040) – – used Alternative solution
Allocation of student-related costsa $1,350,000 $900,000 $2,250,000 Allocation of credit-hour costsb 803,250 981,750 1,785,000 Allocations $2,153,250 $1,881,750 $4,035,000 a $1,350,000 = 60% x $2,250,000; $900,000 = 40% x $2,250,000. b $803,250 = 45% x $1,785,000; $981,750 = 55% x $1,785,000. 2-58. (continued) b. a 45% = 13,500 credit hours ÷ (13,500 credit hours + 16,500 credit hours) b 55% = 16,500 students ÷ (13,500 credit hours + 16,500 credit hours) c 60% = 900 students ÷ (900 students + 600 students) d 40% = 600 students ÷ (900 students + 600 students) (40 Min.) Find the Unknown Information. a. Finished goods beginning inventory + Cost of goods manufactured – Cost of goods sold = Finished goods ending inventory Finished goods beginning inventory + $88,800 – $87,040 = $14,080 Finished goods beginning inventory = $ 12,320 (= $14,080 – $88,800 + $87,040) b. Direct materials used + Direct labor + Manufacturing overhead = Total manufacturing costs Direct materials used + $ 12,160 + $23,040 = $77,600 Direct materials used = $42,400 (= $77,600 – $12,160 – $23,040) Alternative solution
solution-manual-fundamentals-of-cost-accounting-4th-edition-lanen.docx