Jason Cabinets Produces Cabinetry for Offices Around Adelaide CBD Required:
A

Jason Cabinets produces cabinetry for offices around Adelaide CBD.The company adds overhead costs to cabinetry jobs at the rate of $5.00 per direct labour hour.The company accumulates overhead costs in a separate manufacturing overhead account and applies overhead costs to products from this account into the WIP for jobs.The following data provide details of the company's activity and balances during the last half of the year:
$\begin{array}{|l|c|c|}\hline & \text { 1 July} & 31 \text { December } \\\hline \text { Direct materials inventory } &\$75000& \$78000\\\hline \text { Work in process inventory } &48000 &42000 \\ \hline\text { Finished goods inventory} &35000&33000\\\hline \text { Monthly production data: } && \\\hline \text { Direct materials purchased } &\$223& \\ \hline \text {Direct labour costs ( \( \$ 20 / \mathrm{hr} \).) } &\$300000\\ \hline\end{array}$

Required:
A. Calculate the cost of direct materials used during the period.
B. Calculate the cost of goods manufactured during the period.
C. At the end of December, Jason found that it had actually incurred overhead costs of $\$ 80 000$ . What is Jason's cost of goods sold after adjustment?