Introductory cost accounting
Not what you're looking for?
Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO6]
The following data from the just completed year are taken from the accounting records of Eccles Company:
Sales ......................................................................................... $643,000
Direct labor cost ........................................................................... $90,000
Raw material purchases .............................................................. $132,000
Selling expenses ......................................................................... $100,000
Administrative expenses ............................................................... $43,000
Manufacturing overhead applied to work in process....................... $210,000
Actual manufacturing overhead costs .......................................... $220,000
Inventories:
Beginning of
Year
End of Year
Raw materials ............................................... $8,000 $10,000
Work in process ............................................ $5,000 $20,000
Finished goods ............................................. $70,000 $25,000
Ending raw material inventory = $8,000;
Ending work in process inventory = $16,000
Required:
1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials.
2. Prepare a schedule of cost of goods sold.
3. Prepare an income statement.
Purchase this Solution
Solution Summary
Introductory cost accounting is examined. The cost of goods manufactured and the cost of goods sold are determined.
Solution Preview
I attached your study guide in the Excel file. Please note that I didn't use the numbers you have provided - this is a study ...
Purchase this Solution
Free BrainMass Quizzes
Business Ethics Awareness Strategy
This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.
Introduction to Finance
This quiz test introductory finance topics.
Academic Reading and Writing: Critical Thinking
Importance of Critical Thinking
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Learning Lean
This quiz will help you understand the basic concepts of Lean.