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Svetradugi [14.3K]
3 years ago
8

At the beginning of September 2018, Sheffield Company reported Inventory of $7800. During the month, the company made purchases

of $35000. At September 30, 2018, a physical count of inventory reported $8100 on hand. Cost of goods sold for the month is $35300. $42800. $34700. $35000.
Business
1 answer:
bulgar [2K]3 years ago
3 0

Answer:

$34,700

Explanation:

Data provided

Beginning inventory = $7,800

Purchase = $35,000

Closing inventory = $8,100

The computation of Cost of goods sold for the month is shown below:-

Cost of goods sold = Beginning inventory + Purchase - Closing inventory

= $7,800 + $35,000 - $8,100

= $42,800 - $8,100

= $34,700

Therefore for computing the cost of goods sold we simply applied the above formula.

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Answer:

Allocated to Totes =$ 13,620.94

Explanation:

<em>Allocated overhead to totes = OAR × actual direct labour cost </em>

Overhead Absorption Rate(OAR) = Estimated Overhead/Estimated Direct labour cost

Estimated Direct labour cost = (54×530) + (64× 390 )=$53580

OAR = $25,500/$53,580 = 47.59%

Allocated to Totes =  47.59% × (54×530) =  13,620.94  

Allocated to Totes =$ 13,620.94

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