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Dess Inc., a manufacturing company, has provided the following data for the month of August. The balance in the Work in Process inventory account was $10,000 at the beginning of the month and $22,000 at the end of the month. During the month, the used direct material cost was $63,000, and direct labor cost was $39,000. The manufacturing overhead cost was $43,000.1. The manufacturing costs for August was: A. $59,000 B. $67,000 C. $145,000 D. $133,000 2. The cost of goods manufactured for August was: A. $133,000 B. $142,000 C. $145,000 D. $130,000
Manrow Growers, Inc., owns equipment for sowing and harvesting its organic fruit, vegetables, and tree nuts that are sold to local restaurants and grocery stores. At the beginning of 2019, an asset account for the company showed the following balances: Equipment $350,000 Accumulated depreciation through 2018 165,000 During 2019, the following expenditures were incurred for the equipment:Major overhaul of the equipment on January 1, 2019, that improved efficiency $42,000Routine maintenance and repairs on the equipment 5,000The equipment is being depreciated on a straight-line basis over an estimated life of eight years with a $20,000 estimated residual value. The annual accounting period ends on December 31.Required:Record the adjusting entry for depreciation on the equipment during 2018.