3-2 MULTIPLE CHOICE 3.

4 Multiple Choice
1. C 1. B
2. B 2. B
3. A 3. A
4. D Direct materials
5. C (P142,500 x 80%) P114,000.00
Direct labor 84,000.00
6. B
Factory overhead
7. B
(P20,400+160,500) 180,900.00
8. A Total manufacturing cost P378,900.00
9. D Completed percentage X 65%
10. D Finished goods P246,286.00
Percentage of sold X 85%
Cost of goods sold P209,342.25

4. C
Sales (Job 101) P62,250
Less: Cost
3-3 MULTIPLE CHOICE Materials
(P4,500 + 9,000) P13,500
1. C
Direct labor 21,000
2. C
Applied FO
3. A (5,400 x P3.50) 18,900 P53,400
4. A Gross profit P 8,850
5. B
6. D 5. C
Predetermined FOH rate: Work in process at the end (Job 103)
=P1,080,000/900,000= P1.2 per DLH Direct materials
(P10,500 + 4,800) P15,300
Applied FOH=P1.20 x 975,000= P1,170,000 Direct labor 12,000
Less: Actual FOH P1,140 000 Applied factory overhead
Over-applied FO P 30,000 (2,850 x P3.50) 9,975
Total cost of Job 103 P37,275
7. A
6. B
Applied FOH P116,250
Applied factory overhead
Actual FOH P111,000 (4,500+5,400+2,850)xP3.50) P44,625
Over-applied FOH P 5,250 Actual factory overhead
Allocation to Finished Goods *Indirect materials P3,450
[30,000 / (86,250 + 30,000)] x 5,250 *Indirect labor 5,550
=P1,354.84 or P1,355 *Other FOH 29,100
*Depreciation 8,100 P46,200
8. B Under-applied FOH P 1,575
Prime cost =P600+3,200+450+750=P2,100
FOH applied = P3,600 -2, 100 =P1,500 7. B
Predetermine FOH rate Materials issued P489,000
= 1,500 /(1,200) = 125% Add: WIP — ending 127,500
Total P616,500
Less: WIP — beginning 112,500
9. B
Raw materials purchased P504,000
WIP Balance (job 90)
= 18,000 +60,000 +45,000+40,500-150,000 8. C
=P13,500 Total manufacturing cost = direct materials +
direct labor + applied factory overhead
Direct materials =13,500-3,375-(3,375/90%) P1,029,000=P489,000+X+0.60X
=P6,375 1.60X= P1,029,000-P489,000
X=P540,000/1.60
X=P337,500
10. D
Direct Materials P37,500 9. B
Direct labor Work in process — beg. P 120,000
Dept.A P12,000 Add: Total manufacturing cost 1,029,000
Dept.B P18,000 P30,000 Total goods in process 1,149,000
Factory Overhead Less: WIP — ending 45,000
Dept.A Cost of goods manufactured 1,104,000
(P12,000x900/300) P36,000
Dept.B 10. A
(P18,000x600/1200) P9,000 P45,000 Finished goods — beg P135,000
Job 101 Cost P112,500 Add: CGM 1,104,000
Goods available for sale 1,239,000
Less: Finished goods — end 165,000
Cost of goods sold 1,074,000