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Cost of Goods Sold

A company’s beginning inventory and purchases are typically referred to jointly as the cost of goods available for sale. Similarly, consumed inventory costs are typically referred to as cost of goods sold. The cost of goods available for sale is equal to beginning inventory plus purchases. The cost of goods sold is equal to the cost of goods available for sale less ending inventory. Gross profit is equal to net sales less the cost of goods sold. 



The calculations shown above are typically included on the income statement for a merchandising company. Cost of goods sold is subtracted from net sales in order to find gross profit

Inventory Methods Explanations

Discussion Questions 1) Distinguish between the periodic and perpetual methods. Expand on response 2) Discuss the inventory cost flow methods. Which is the most accurate? Why? Expand on response 3) Define the LCM rule. Is it more or less applicable in 2016. Explain. Textbooks Introduction to Financial Accounting, 11/E

Plan value, earned value, actual cost and cost variance

JLB Construction has been contracted to provide a security enclosure for a Water Distribution facility for a major metropolitan area. The structure is in the shape of a pentagon and is a wall. One side of the wall contains a secure gate for exit and entry. Total project cost is estimated at 1 million dollars. The wall wil

Creation of the Cost of Goods Manufactured Statement for a manufacturing firm.

Please help me with the following assignment: Cost of Goods Manufactured Statement Denny Corporation, a manufacturing company, produces a single product. The following information has been taken from the company's production, sales, and cost records for the just completed year: Production in units 51,000 Direct lab

Sears Co: Cost of Goods Sold

The following table summarizes the beginning and ending inventories of Sears Co. For the month of October: Sept. 30 Oct. 31 Raw Materials $ 29, 700 $31,000 Work-in-process

Schedule of Cost of Goods Manufactured

Dalton Brothers Manufacturing, Inc. began business in July 2011. The firm makes mud boats for retail sale. Following are data taken from the firm's accounting records that pertain to its first month in operation. Direct material purchased on account-----$900,000 Direct material issued to production-----377,000 Direct labo

Complete Schedule of Cost of Goods Manufactured

Supply the missing information on the following schedule of cost of goods manufactured. Dewberry Corporation Schedule of Cost of Goods Manufactured For the Year Ended December 31, 2011 Raw Materials Beginning Inventory (?) Plus Purchases

Cost of goods manufactured for Fossil Furniture Company

Manufacturing information for 2001 for the Fossil Furniture Company is provided below. On January 1, 2001, raw materials inventory included direct materials with a cost of $20,000. During the year, the firm purchased direct materials costing $50,000. At year-end, the account included direct materials, with a cost of $5,000

Calculate prime costs; cost of goods manufactured for month

Please select the correct answer in the two exercises below and explain briefly how you calculated it. 1. The following costs were incurred in August: Direct materials $21,800 Direct labor $19,100 Manufacturing overhead $19,400 Selling expenses $14,500 Administrative expenses $20,400 Prime costs during the mon

Maroon Corporation - Schedule of Cost of Goods Manufactured

The following data (in thousands of dollars) have been taken from the accounting records of the Maroon Corporation for the just completed year. Sales-1,150 Raw materials inventory, beginning---   15 Raw materials inventory, ending---  40 Purchases of raw materials---   150 Direct labor---  250 Manufacturi

Average daily sales, cost of goods sold, purchases

1. Using the information in exhibit 1 and 2, calculate McGhee's average daily sales, average daily cost of goods sold, average daily purchases, and average operating expenses. How much control does the firm have over each of these iteams? *Exhibit 1: McGhee Corporation. Balance Sheet, December 31, 2003.

Cost of goods made, work in process

Please see attached file for the problem Problem I First, inc. Has the following account balances at the end of march, 2001 Administrative expenses $ 53,000 Direct labor 56,000 Direct material beg. Inv. 12,000 Direct material end. Inv. 10,000 Direct material purchases 55,000 Finished goods be

Cost of goods manufactured schedule

Please fill in the yellow cells (attached) and provide an explanation on how the answer was obtained so I can complete these questions without assistance. MADLOCK MANUFACTURING COMPANY Cost of Goods Manufactured Schedule For the Year Ended December 31, 2005 Work in process (1/1) $210,000 Direct materia

Total cost of good transferred from work in process to finished goods

Violet Enterprises uses weighted average based process costing for inventory valuation purposes. At the beginning of the period there were 2,000 units in work in process (WIP) that were 30% complete. During the period 12,000 new units were started. Ending WIP was 3,000 units that were 40% complete. Direct materials are added at

Statement of Cost of Goods Manufactured

As the management accountant for Ace Enterprises, Inc., you have been asked to prepare a statement of cost of goods manufactured at the end of the first quarter. Account balances at that time were as follows: ---------------------------------------------------------------------------- Materials inventory, January 1, 20xx

Two questions

1. Which statement is true? A. When the cost of goods sold as a percentage of sales increases the gross margin percentage will increase. B. It is possible for cost of goods sold in dollars to increase while cost of good sold as a percentage of sales decreases. C. If gross margin percentage is the same for the current an

Jurvin Enterprises: T accounts and cost of goods sold

Can you help me get started with this assignment? Jurvin Enterprises recorded the following transactions for the just completed month. The company had no beginning inventories. a. $94,000 in raw materials were purchased for cash b. $89,000 in raw materials were requisitioned for use in production. Of this amount, $78,000

Zimmerman allocation of joint costs; Langley amount to cost of good sold

1. Zimmerman Laboratories processes and refines fertilizer. From this fertilizer they have contemplated producing two additonal products as a result of further processing. One product is a high power fuel that can be used in peformance aircraft and/or single-stage rockets. The second potential product is a highly explosive compo

Dillo Vineyards: Prepare a Statement of Cost of Goods Manufactured

Dillo Vineyards, a large winery in Texas, produces a full line of varietal wines. The company, whose fiscal year begins on November 1, has just completed a record-breaking year. Its inventory account balances on October 31 of this year were Materials Inventory $1,803,800 Work In Process Inventory $2,764,500 Finished Goods

Need help

6. Under STATEMENT OF FINANCIAL ACCOUNTING CONCEPTS NO. 5, which of the following, in the most precise sense, means the process of convert- ing noncash resources and rights into cash or claims to cash? a. Recognition b. Measurement c. Realization d. Allocation 7. The acco

Calculation of cost of goods sold & manufactured

8. From PE 18-4A (a) what type of cost is maintenance on printing machines? Product Period Both None of the above 9. From 18-5A what is the cost of goods sold for August? Nantahala company has the following information for August Cost of direct materials used in production $30,000

Prepare a Cost of Goods Manufactured Schedule

Prepare a cost of goods manufactured schedule and partial financial statements. (SO 2, 5) At May 31, 2005, the accounts of Yellow Knife Manufacturing Company show the following. 1. May 1 inventories?finished goods $12,600, work in process $14,700, and raw materials $8,200 2. May 31 inventories?finished goods $11,500, wor

Cost of goods problem

Jansen company has a job order costing system. The company applies manufacturing overhead to jobs using a predetermined overhead rate based on direct labor cost. The information below has been taken from the cost records of the Jansen company for the past year: Direct materials use in production

Evaluate performance of UFI using the variable cost

Using the sample format, the vice president asks you to evaluate the operating performance for UFI for 2004 and 2005 by determining the variable cost per unit sold for each year. Complete the contribution margin Excel spreadsheet. Provide an explanation of your calculations in a memo to the vice president.

Luebke Inc: Calculate the adjusted cost of goods sold

Luebke Inc. has provided the following data for the month of November. The balance in the Finished Goods inventory account at the beginning of the month was $51,200 and at the end of the month was $30,100. The cost of goods manufactured for the month was $211,000. The actual manufacturing overhead cost incurred was $55,700 and t

Wayne's Company: What is the amount of cost of goods manufactured?

Wayne Company's beginning and ending inventories for the month of June were as follows: June 1 June 30 Direct Materials $67,200 $62,400 Work in Process $144,900 $171,100 Finished Goods $84,500 $78,100 Production data for the month follow: Direct labor cost incurred $200,400 Direct labor-hours 24,900 Actual ma

Solve: Cost of Goods Sold

Question: Gaeddert Corporation reported the following data for the month of July: Inventories............Beginning.........Ending Raw Materials.......$35 200..........$27 200 Work in Process....$12 600.........$15 300 Finished Goods.....$36 200.........$41 000 Additional Information: Sales...........................

Harmony Corp: compute finfished goods and cost of goods manufactured

See attached Excel file. Harmony Corporation manufactures and sells a single product. In preparing the budget for the first quarter, the company's cost accountant has assembled the following information: Units Dollars Sales (budgeted) 150,000 $12,150,000.00 Finished goods inventory, Jan. 1 (actual) 30,000