Develop a schedule of cost of goods manufactured

Reference no: EM131983650

Problem

Superior Company provided the following account balances for the year ended December 31 (all raw materials are used in production as direct materials):

Selling expenses $ 218,000
Purchases of raw materials $ 268,000
Direct labor ?
Administrative expenses $ 155,000
Manufacturing overhead applied to work in process $ 334,000
Total actual manufacturing overhead costs $ 356,000

Inventory balances at the beginning and end of the year were as follows:

	Beginning of Year		End of Year
Raw materials	$	55,000	$	34,000
Work in process		?	$	23,000
Finished goods	$	39,000		?

The total manufacturing costs for the year were $680,000; the cost of goods available for sale totaled $740,000; the unadjusted cost of goods sold totaled $668,000; and the net operating income was $35,000. The company's overapplied or underapplied overhead is closed entirely to Cost of Goods Sold.

(Hint: Prepare the income statement and schedule of cost of goods sold first followed by the schedule of cost of goods manufactured.)

Required:

a. Prepare a schedule of cost of goods manufactured.
b. Prepare a schedule of cost of goods sold.
c. Prepare an income statement for the year.

Reference no: EM131983650

Questions Cloud

Compute costs per equivalent unit for blending department : Determine the equivalent units for June for the Blending Department. Compute the costs per equivalent unit for the Blending Department.

Statements regarding the hypothetical scenario : Which of the following statements regarding the hypothetical scenario above is most correct?

Explain what it means and why it is important : Also, using Bloom's Taxonomy, explain what that Application and Analysis level of Bloom's would be for each ratio.

Majority of imports brought into new jersey : C.T. Balls Cargo incorporated is responsible for the majority of imports brought into New Jersey. In fact, C.T. Balls carries 82 percent of New Jersey's imports

Develop a schedule of cost of goods manufactured : Develop a schedule of cost of goods manufactured. Prepare a schedule of cost of goods sold. Prepare an income statement for the year.

What do you see as the most important stakeholder : Explain in your own words where each of the major stakeholders are represented within the financial statements of the corporation.

How does the the selected mnc manage its capital -cashflow : Select a Multi National Corporation (MNC) in the Caribbean region and answer the following question in 500 words or less.

Medical school department of a large private university : John and Mary are full professors in the same medical school department of a large private university. As a private institution, neither the school.

Prepare an income statement for year starting with income : Prepare an income statement for the year 2017 starting with income from continuing operations before taxes.

User Account

All Pages