4.13 (LO 3, 4) Inventory cost flows Furr Fabricators produces protective covers for smart phones. Since the covers must be customized to each smart phone model,
Furr uses a job order costing system. On September 1, the company reported the following inventory balances:
Direct Materials $ 8,500
Work in Process $34,600
Finished Goods $53,200
During September, the following events occurred:
1. Furr purchased direct materials costing $372,000 on account.
2. Furr used $364,000 in direct materials in production.
3. Furr's employees clocked 20,000 direct labor hours at an average wage rate of $15.00 per direct labor hour.
4. The company incurred $428,000 in manufacturing overhead, including $77,200 in indirect labor costs.
5. Using direct labor hours as the application base, the company applied $420,000 of manufacturing overhead to jobs worked on in September.
6. The company completed production on jobs costing $1,040,000.
7. The company delivered jobs costing $990,000 to customers.
Required
a. Calculate the ending September balance of the Direct Materials, Work in Process, and Finished Goods Inventory accounts.
b. Calculate total manufacturing costs for September.
