Decker Company has five products in its inventory. Information about the December 31, 2021, inventory follows. Product Quantity Unit Cost Unit Selling Price A 1,000 $ 25 $ 32 B 1,200 31 36 C 1,000 2 6 D 600 5 4 E 1,000 35 32 The cost to sell for each product consists of a 10 percent sales commission. Required: 1. Determine the carrying value of inventory at December 31, 2021, assuming the lower of cost or net realizable value (LCNRV) rule is applied to individual products. 2. Determine the carrying value of inventory at December 31, 2021, assuming the LCNRV rule is applied to the entire inventory. 3. Assuming inventory write-downs are common for Decker, record any necessary year-end adjusting entry based on the amount calculated in requirement 2.
Answers
Answer:
Decker Company
1. The carrying value of inventory with LCNRV applied to individual products = $95,384
2. The carrying value of inventory with LCNRV applied to the entire inventory = $102,200
3. There is no write-down since the total cost is chosen as the LCNRV in requirement 2.
Explanation:
a) Data and Calculations:
December 31, 2021 Inventory:
Product Quantity Unit Cost Unit Selling
Price
A 1,000 $ 25 $ 32
B 1,200 31 36
C 1,000 2 6
D 600 5 4
E 1,000 35 32
Product Quantity Unit Cost Unit Selling Net Realizable LCNRV Total
Price Value
A 1,000 $ 25 $ 32 $29 $25 $25,000
B 1,200 31 36 33 31 37,200
C 1,000 2 6 5.45 2 2,000
D 600 5 4 3.64 3.64 2,184
E 1,000 35 32 29 29 29,000
Carrying value of inventory $95,384
Total cost = (1,000 * $25) + (1,200 * $31) + (1,000 * $2) + (600 * $5) + (1,000 * $35)
= ($25,000) + ($37,200) + ($2,000) + ($3,000) + ($35,000)
= $102,200
Total selling price = (1,000 * $32) + (1,200 * $36) + (1,000 * $6) + (600 * $4) + (1,000 * $32)
= ($32,000) + ($43,200) + ($6,000) + ($2,400) + ($32,000)
= $115,600
= $105,091 ($115,600/1.1)
LCNRV = $102,200
1. The carrying value of inventory on December 31, 2021, is $95,384 for individual products.
2. The carrying value of inventory on December 31, 2021, is $102,200 for the entire inventory.
3. There would be no recording entry.
The carrying value of inventory would be computed as follows in the given table.
Hence, the total carrying value of inventory for the individual product from the table would be:
[tex]25000+37200+2000+2184+29000\\=95,384[/tex]
Now, computation of carrying value of inventory for the entire inventory would be:
[tex](1,000 * 25) + (1,200 * 31) + (1,000 * 2) + (600 * 5) + (1,000 * 35)\\=102,200[/tex]
Hence, the lower of cost and net realizable value or LCNRV is $102,200 for the entire product and $95,384 for individual inventory.
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Related Questions
One of the departments at Yolo Industries has entered into a 9 year lease for a piece of equipment. The annual payment under the lease will be $3,800, with payments being made at the beginning of each year. If the discount rate is 12%, the present value of the lease payments is closest to (Ignore income taxes.): Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided.
Answers
Answer:
PV= $22,677.03
Explanation:
Giving the following formula:
Number of periods (n)= 9 years
Annual payment (A)= $3,800
Discount rate (i)= 12%
First, we will calculate the future value of the payments using the following formula:
FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}
FV= {3,800*[(1.12^9) - 1]} / 0.12 + {[3,800*(1.12^9)] - 3,800}
FV= 56,147.49 + 6,737.7
FV= $62,885.19
Now, the present value:
PV= FV / (1 + i)^n
PV= 62,885.19 / (1.12^9)
PV= $22,677.03
You think the price of AMZN stock, which is currently $900 is likely to change significantly over the next three months, you are just not sure which direction. So you buy a long strangle position, with a call and put option, worth $10 and $3 per share, respectively, three months to expiration, and strike prices of 910 (call) and 890 (put). If at expiration AMZN is trading at $865, what is your net profit per share
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Piedmont Company purchased merchandise on account from a supplier for $40000, terms 1/10, n/30. Piedmont Company returned $6000 of the merchandise and received full credit.If Piedmont Company pays the invoice within the discount period, what is the amount of cash required for the payment
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Answer is in a photo. I can only upload it to a file hosting service. link below!
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Cement Company, Inc. began the first quarter with 1,000 units of inventory costing $25 per unit. During the first quarter, 3,000 units were purchased at a cost of $40 per unit, and sales of 3,400 units at $65 per units were made. During the second quarter, the company expects to replace the units of beginning inventory sold at a cost of $45 per unit. Cement Company uses the LIFO method to account for inventory. What is the correct journal entry to record cost of goods sold at the end of the first quarter
Answers
Answer:
Calculation of Cost of Goods sold under LIFO:
For 3,000 units (3000*40) $120,000
For 400 units (400*25) $10,000
Add: Excess of replacement cost over historical $8,000
cost of LIFO liquidation (400*(45-25))
Cost of Goods sold under LIFO $138,000
Journal entry
Date Account Titles and Explanation Debit Credit
Cost of Goods sold $138,000
Inventory (120000+10000) $130,000
Excess of replacement cost over $8,000
historical cost of LIFO liquidation
A college graduate has gotten a job that requires frequent travel to different schools around the country. These schools hire her to help them create healthier meals in their cafeterias. She creates a full menu for each school and shows the school the nutritional benefits of each food.
Which two types of careers are part of this college graduate's job?
A. Education and sales
B. Food service and transportation
C. Sales and management
D. Education and food service
Answers
D. Education and food services :)
i got it right
The two careers that are part of this graduate's job to travel around the nation and create healthier meals are D. Education and food service.
What two careers are part of this job?Education is one career because the college graduate will have to teach the staff in the schools she goes to, the nutritional benefits of the meals she suggests.
Food service is also involved in order to know which foods are best for the students.
#SPJ5
Find out more on food career choices at https://brainly.com/question/13243326.
Indicate the missing amount for each letter (a) through (i). Case A Case B Case C Direct materials used $ (a) $72,720 $131,700 Direct labor 59,280 90,560 (g) Manufacturing overhead 49,120 82,680 105,500 Total manufacturing costs 199,600 (d) 255,700 Work in process 1/1/20 (b) 17,110 (h) Total cost of work in process 226,310 (e) 339,900 Work in process 12/31/20 (c) 13,240 71,550 Cost of goods manufactured 188,400 (f)
Answers
Answer:
Case A Case B Case C
Direct materials used $ 91,200 $72,720 $131,700
Direct labor 59,280 90,560 18,500
Manufacturing overhead 49,120 82,680 105,500
Total manufacturing costs 199,600 245,960 255,700
Work in process 1/1/20 26,710 17,110 84,200
Total cost of work in process 226,310 263,070 339,900
Work in process 12/31/20 37,910 13,240 71,550
Cost of goods manufactured 188,400 249,830 268,350
Explanation:
Given:
Case A Case B Case C
Direct materials used $ (a) $72,720 $131,700
Direct labor 59,280 90,560 (g)
Manufacturing overhead 49,120 82,680 105,500
Total manufacturing costs 199,600 (d) 255,700
Work in process 1/1/20 (b) 17,110 (h)
Total cost of work in process 226,310 (e) 339,900
Work in process 12/31/20 (c) 13,240 71,550
Cost of goods manufactured 188,400 (f) (i)
Therefore, we have:
Case A
a. Direct materials used = Total manufacturing costs - Direct labor - Manufacturing overhead = 199,600 - 59,280 - 49,120 = 91,200
b. Work in process 1/1/20 = Total cost of work in process - Total manufacturing costs = 226,310 - 199,600 = 26,710
c. Work in process 12/31/20 = Total cost of work in process - Cost of goods manufactured = 226,310 - 188,400 = 37,910
Case B
d. Total manufacturing costs = Direct materials used + Direct labor + Manufacturing overhead = 72,720 + 90,560 + 82,680 = 245,960
e. Total cost of work in process = Total manufacturing costs + Work in process 1/1/20 = 245,960 + 17,110 = 263,070
f. Cost of goods manufactured = Total cost of work in process - Work in process 12/31/20 = 263,070 - 13,240 = 249,830
Case C
g. Direct labor = Total manufacturing costs - Direct materials used - Manufacturing overhead = 255,700 - 131,700 - 105,500 = 18,500
h. Work in process 1/1/20 = Total cost of work in process - Total manufacturing costs = 339,900 - 255,700 = 84,200
i. Cost of goods manufactured = Total cost of work in process - Work in process 12/31/20 = 339,900 - 71,550 = 268,350
Kayla is an accountant who donates her services to the Allegro Chorale, a nonprofit arts organization in Odessa, Texas. Kayla prepares monthly financial statements for Allegro for all of the following reasons EXCEPT _______. a. Kayla can identify underserved marketing segments and recruit them to join the Allegro Chorale b. Kayla can generate awareness of and long-term benefits for the Allegro Chorale c. donated services create goodwill d. donating her services helps Marci make personal contacts in the community
Answers
Answer: a. Kayla can identify underserved marketing segments and recruit them to join the Allegro Chorale
Explanation:
Some of the reasons why Kayla prepares the monthly financial statement will be to create goodwill, and help generate long term awareness for the organization.
We should note that the identification of underserved marketing segments and then recruiting them to join the Allegro Chorale isn't the role of Kayla, therefore this isn't one of the reason that she's preparing the financial statement.
Determine the future value if $5,000 is invested in each of the following situations: 7 percent for seven years
Answers
Explanation:
Present Value (PV) = $5,000
Future Value(FV) = ?
Interest rate(r) = 7 percent
Number of years (N) = 7 years
The formula for future value is:
FV = PV(1+ r)^n
= $5,000(1+0.07)^7
$5,000(1.07)^7
$5,000 x 1.605781476
=$8,028.91
Approximately $8,030
Alternatively, we can use a Financial calculator:
N= 7; I/Y= 7, PV= -5,000 CPT FV= $8,028.91
Approximately $8,030
Central Park Inc. is a company that sells women's clothing. It recently shut down its physical store and is operating as an app-based store now. The app allows users to access the store's products anytime and anywhere using their cell phones, and it also has features that allow users to compare the prices of similar products across different online stores. This scenario exemplifies _______. a. dual distribution b. a drop and shop program c. M commerce d. multichannel marketing
Answers
Answer:
c. M commerce
Explanation:
Since in the given situation it is mentioned that it recently shut down its physical store and operate now on app-based. In this the user could access at any time and anywhere via cell phones also it give the benefit to compare the prices
So this represent the m-commerce means mobile commerce. Users can operate it any time at anywhere without any use of laptop or desktop.
What would be the effects if a business didn't follow the matching principle?
Answers
If a Business fails to follw the principle It may not be able to create proper financial statements and that may provide an inaccurate current position of the business
Hope it helps
Help! Will give brainliest to the first correct answer!
Answers
Answer:
1. Four years college degree
2. An on job training experience
3. an endorsement from a professional, nongovernment organization
4. 2 year college degree
5. Earned after masters or bachelors degree
Explanation:
Hope that helps
Find below the financial statements for Kenning Corp. Income Statement Balance Sheet Sales $5,000 Assets $14,800 Debt $11,000 Costs 3,410 Equity 3,800 Net income $1,590 Total $14,800 Total $14,800 Assume no income taxes. Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid and next year's sales are projected to be $5,970. What is the EFN?
Answers
Answer: $972.74
Explanation:
From the information given, the external finance is calculated thus:
Sales growth = ($5970 - $5000) / $5000 × 100 = $970/$5000 × 100 = 19.4%
Then, we calculate the net income which will be:
= Sales - Cost
= $5970 - ($3410 × 1.194)
= $5970 - $4071.54
= $1898.46
Total asset = $14800 × 1.194 = $17671.20
Total equity = $3800 + $1898.46 = $5698.46
External financing needed:
= Total assets - Total equity - Debt
= $17671.20 - $5698.46 - $11,000
= $972.74
Tidewater, Inc., requires its job applicants to take a test that measures their vocabulary and numerical skills. For specific jobs, the company also requires its applicants to perform a sample of the job. Before implementing the tests, the management analyzes how well the test actually correlates and predicts job performance. When Tidewater needed to downsize, the company helped employees who were laid off to get placed in other organizations, and immediate supervisors talked to the employees about the reasons for their dismissal. When the job applicants for specific jobs are asked to execute a sample of the job, the company is utilizing a(n) ________ test.
Answers
Answer: performance
Explanation:
When the job applicants for specific jobs are told to perform a sample of the job, this implies that the company is using a performance test.
Performance test simply refers to a test that requires the individuals partaking in it to perform an activity using their skills, ability and knowledge.
You own a portfolio equally invested in a risk-free asset and two stocks. If one of the stocks has a beta of 1.12 and the total portfolio is equally as risky as the market, what must the beta be for the other stock in your portfolio
Answers
Answer:
Beta for the other stock = 1.88
Explanation:
A portfolio is said to be as risky as the market where its beta is exactly equal to 1. A beta of greater than 1 implies the portfolio is riskier than the average market, and less risky where the beta is less than 1.
A portfolio that has an equal proportion of three asset would mean a weight of 1/3 for each asset
So we can represent the portfolio beta as follows:
1 = 1/3×(0) + 1/3× (1.12) + 1/3×y
1= 0.37 + 0.33y
0.33y = 0.626
y= 0.626/0.33
y= 1.88
Beta for the other stock = 1.88
45.18
What gives the US government the power to collect taxes?
o the Constitution
O laws passed by Congress
O an executive order
common law
Mark this and return
Save and Exit
Next
Submit
What gives the US government the right to collect taxes?
Answers
In the Assembly Department of Concord Company, budgeted and actual manufacturing overhead costs for the month of April 2020 were as follows. Budget Actual Indirect materials $15,700 $15,100 Indirect labor 21,900 22,500 Utilities 10,100 10,900 Supervision 5,900 5,900 All costs are controllable by the department manager. Prepare a responsibility report for April for the cost center.
Answers
Answer: See explanation
Explanation:
The responsibility report for April for the cost center is analysed below:
CONCORD COMPANY
Manufacturing Overhead Cost Responsibility Report For the Month Ended April 30, 2020
Controllable Cost Budget Actual.
Difference
Indirect materials $15,700 $15,100 $600 Favorable
Indirect labor 21,900 22,500 600 Unfavorable
Utilities 10,100 10,900 800 Unfavorable
Supervision 5,900 5,900 0
Job Number Manufacturing Costs as of June 30 Manufacturing Costs in July 101 $ 3,800 102 3,200 103 960 $ 2,000 104 2,200 4,300 105 6,200 106 3,300 During July, jobs no. 103 and 104 were completed, and jobs no. 101, 102, and 104 were delivered to customers. Jobs no. 105 and 106 are still in process at July 31. a. Compute the work in process inventory at June 30. b. Compute the finished goods inventory at June 30. c. Compute the cost of goods sold during July. d. Compute the work in process inventory at July 31. e. Compute the finished goods inventory at July 31.
Answers
Answer:
(a) $3,160
(b) $7,000
(c) $13,500
(d) $9,500
(e) $2,960
Explanation:
(a). Work in Process = Manufacturing cost of 103 in June + Manufacturing cost of 104 in June
Work in Process = $960 + $2,200 = $3,160
(B). Finished goods = Manufacturing cost of 101 in June + Manufacturing cost of 102 in June
Finished goods = $3,800 + $3,200 = $7,000
(C) Cost of goods sold during July = Manufacturing cost of 101 in June + Manufacturing cost of 102 in June + Manufacturing cost of 104 in June + Manufacturing cost of 104 in July
Cost of goods sold during July = $3,800 + $3,200 + $2,200 + $4,300 = $13,500
(D) Work in process inventory = Manufacturing cost of 105 in July + Manufacturing cost of 106 in July
= $6,200 + $3,300 = $9,500
(E) Finished goods inventory = Manufacturing cost of 103 in June + Manufacturing cost of 103 in July
Finished goods inventory = $960 + $2,000 = $2,960
How would I put the reason I left my job simply and professionally if this was the reason: I left my job due to my drivers ed schedule interfering with my work schedule, I was also not able to get to and from work since my dad couldn't take me there all the time.
Answers
When the money market is drawn with the value of money on the vertical axis, an increase in the money supply causes the equilibrium value of money Group of answer choices to decrease, while the equilibrium quantity of money increases. and equilibrium quantity of money to decrease. and equilibrium quantity of money to increase. to increase, while the equilibrium quantity of money decreases.
Answers
Answer:
to decrease, while the equilibrium quantity of money increases.
Explanation:
an increase in money supply, leads to a rightward shift of the money supply curve. As a result, interest rate falls. money supply increases. There is an increase in equilibrium money supply but equilibrium value falls
Break-Even Sales Currently, the unit selling price of a product is $1,350, the unit variable cost is $900, and the total fixed costs are $810,000. A proposal is being evaluated to increase the unit selling price to $1,400. a. Compute the current break-even sales (units). fill in the blank 1 units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.
Answers
Answer:
(A). 1,800 units
(B). 1,620 units
Explanation:
(A). We can calculate the break-even sales by using following formula,
Current break-even sale (Unit) = Fixed cost ÷ Contribution margin/unit
Where, Fixed cost = $810,000
Contribution margin/unit = Unit sell price - Unit variable cost
= $1,350 - $900 = $450
By putting the above value in the formula, we get
Current break-even sale (Unit) = $810,000 ÷ $450
= 1,800units
(B). Similarly, we can calculate the anticipated break-even sales by using following formula:
Anticipated break-even sale(Unit) = Fixed cost ÷ Contribution margin/unit
Where, Fixed cost = $810,000
Contribution margin/unit = Unit sell price - Unit variable cost
= $1,400 - $900 = $500
By putting the above value in the formula, we get
Anticipated break-even sale(Unit) = $810,000 ÷ $500
= 1,620units
Saturn Industries purchased and consumed 64,000 gallons of direct material that was used in the production of 17,000 finished units of product. According to engineering specifications, each finished unit had a manufacturing standard of four gallons. If a review of Saturn's accounting records at the end of the period disclosed a material price variance of $6,400U and a material quantity variance of $2,800F, what is the actual price paid for a gallon of direct material
Answers
Answer:
The actual price = $1.08
Explanation:
The standard material price can be worked out as follows:
Step 1: Work out the standard price of material using the material usage variance
Standard price = Material usage variance/(standard quantity of material - actual quantity)
Standard quantity of material = standard qty per unit × actual production
= 4 × 17,000 =68,000
Standard price = 2,800/(68,000-64,000)= $0.7
Step 2 : Work out the Actual material price using the material price variance
Material price variance = (Standard price - Actual price )× Actual quantity of material
6,400 = (y - 0.7) × 17,000
6400 = 17,000y - 11,900
17,000 y = 6,400 + 11,900
y = 18,300/17,000= 1.08
The actual price = $1.08
Which section of a business plan gives details about a business's core products and services?
The
section of a business plan talks about a business's core products and services, and their features and benefits
to the consumers.
Answers
Answer:
an executive summary is compelling which reveals the company's mission statement, along with a short description of its products and services. its also good to briefly explain why you're starting your company and include details about your experience in the industry that you're entering
Question 2: DuPont method In year 2016, Apple Inc. had profit margin of 27.8% (i.e., it generated 27.8 cents of profit per dollar of sales) and asset turnover of 0.670 (i.e., it generated 67.0 cents of annual sales per dollar of assets). a) The profit margin indicates that Apple has low pricing power -- it cannot charge high prices relative to costs high production efficiency -- it has very low costs high pricing power -- it can charge high prices relative to costs The asset turnover indicates that Apple is extremely efficient in generating assets per dollar of sales extremely efficient in generating sales per dollar of assets relatively inefficient in generating sales per dollar of assets b) Compute Apple's return on investment (ROI) ROI
Answers
Answer and Explanation:
a. The profit margin represent that it could charge high prices that should be relative to the cost while on the other hand the asset turnover represent that it is relatively non-efficient for producing sales per asset dollar
b. Now the return on investment is
= Profit margin × asset turnover
= 27.8% × 0.670
= 18.6
The same would be relevant
On January 1, 2017, Clayton Company issues $640,000, 15 year, 8% bonds (paying semiannual interest on 6/30 and 12/31) for $765,443, when the annual market rate of interest is 6%. If the company uses the effective interest method of amortization, what will be the amount of interest expense recorded on the December 31, 2017 Income Statement? (HINT: Will include the total interest expense recorded with both the June 30 payment and the December 31 payment).
Answers
Answer:
Clayton Company
The amount of interest expense recorded on the December 31, 2017 Income Statement is:
= $45,847
Explanation:
a) Data and Calculations:
Face value of bonds = $640,000
Issue price = $765,433
Premium on bonds = $125,433
Bonds maturity period = 15 years
Interest rate on the bonds = 8%
Annual market rate of interest = 6%
Interest expense for the first year:
June 30, 2017:
Amount of semi-annual interest payment = $25,600 ($640,000 * 4%)
Semi-annual Interest expense = $22,963 ($765,433 * 3%)
Amortization of bonds premium = $2,637
Carrying value of bonds on June 30, 2017 = $762,796 ($765,433 - $2,637)
December 31, 2017:
Amount of semi-annual interest payment = $25,600 ($640,000 * 4%)
Semi-annual Interest expense = $22,884 ($762,796 * 3%)
Amortization of bonds premium = $2,716
Carrying value of bonds on December 31, 2017 = $760,080 ($762,796 - $2,716)
Total interest expense for the year:
June 30, 2017: Semi-annual Interest expense = $22,963
December 31: Semi-annual Interest expense = $22,884
Total interest to be recorded on 12/31/2017 = $45,847
Crazy Delicious Inc. produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (5,000 bars) are as follows: Ingredient Quantity Price Cocoa 500 lbs. $1.40 per lb. Sugar 100 lbs. $0.50 per lb. Milk 250 gal. $1.60 per gal. Determine the standard direct materials cost per bar of chocolate. Round to two decimal places. $fill in the blank 1 per bar
Answers
Answer:
Standard direct materials cost per bar of chocolate = $0.23 per bar
Explanation:
This can be calculated as follows:
Total standard cost of cocoa in a batch = 500 * $1.40 = $700
Total standard cost of Sugar in a batch = 100 * 0.50 = $50
Total standard cost of Milk in a batch = 250 * 1.60 = $400
Total standard costs for a batch of chocolate = $700 + $50 + $400 = $1,150
Number bars of chocolate in batch = 5,000
Therefore, we have:
Standard direct materials cost per bar of chocolate = Total standard costs for a batch of chocolate / Number bars of chocolate in batch = $1,150 / 5,000 = $0.23 per bar
7. The price of a movie ticket goes from $7.00 to $8.50. What should happen to the demand for these tickets?
Answers
Answer: The price increses
Explanation: Goes t0 7.00 to 8.50 increses a 1.50
The demand has went up
What is the Internal Revenue Code?
A.) a collection of tax laws, their interpretations, and federal tax rulings
B.) a list of tax brackets and the percentages each person must pay
C.) a book used solely by tax accountants to help people complete their filings
D.) a passcode that citizens must have to file their taxes online
Answers
Internal Revenue Code is collection of tax laws, their interpretations, and federal tax rulings.
Option A is the correct answer
What is internal revenue code?The Internal Revenue Code are set of laws and rules created to guide tax related matters
It was created by revenue service for the public on tax payment.
Therefore, Internal Revenue Code is the collection of tax laws, their interpretations, and federal tax rulings
Learn more on tax below
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On August 2, Jun Co. receives a $6,300, 90-day, 12% note from customer Ryan Albany as payment on his $6,300 account receivable. 1. Compute the maturity date for the above note. multiple choice October 29 October 30 October 31 November 1 November 2
Answers
Answer: October 31
Explanation:
It is a 90 day Note so the maturity date will be:
= August 2 + the remaining 29 days in August + 30 days in September + 31 days in October
= October 31
The expiry date will be October 31 as this would be 90 days from August 2, when the note was received.
Good Night, Inc., manufactures comforters. The estimated inventories on January 1 for finished goods, work in process, and materials were $51,000, $28,000, and $33,000, respectively. The desired inventories on December 31 for finished goods, work in process, and materials were $48,000, $35,000, and $29,000, respectively. Direct materials purchases were $555,000. Direct labor was $252,000 for the year. Factory overhead was $176,000. Prepare a cost of goods sold budget for Good Night, Inc.
Answers
Answer:
Good Night, Inc.
Cost of goods sold budget
Beginning Finished Goods Inventory $51,000
Add Cost of Goods Manufactured $980,000
Less Ending Finished Goods Inventory ($48,000)
Cost of goods sold $947,000
Explanation:
Step 1 : Determine the Direct Materials used in Production
Beginning Materials Inventory $33,000
Add Material Purchases $555,000
Less Ending Materials Inventory ($29,000)
Direct Materials used in Production $559,000
Step 2 : Determine the Cost of Goods Manufactured
Beginning Work In Process Inventory $28,000
Add Manufacturing Costs :
Direct Materials used $559,000
Direct labor $252,000
Factory overhead $176,000 $987,000
Less Ending Work In Process Inventory ($35,000)
Cost of Goods Manufactured $980,000
Step 3 : Prepare the Cost of goods sold budget
Beginning Finished Goods Inventory $51,000
Add Cost of Goods Manufactured $980,000
Less Ending Finished Goods Inventory ($48,000)
Cost of goods sold $947,000
sa inyo na points! :)
Answers
Answer:
THANK YOUUU
Explanation:
Have a nice day/nightt :)
