All categories

3 years ago

Schedule of Cost of Goods Manufactured and Sold

Business

1 answer:

azamat3 years ago

7 0

Answer:

Cost of goods sold Answer 604,500

Explanation:

Bourne Manufacturing Company

Schedule of Cost of Goods Manufactured and Sold

For the Year Ended December 31,2016

Direct material:

Beginning materials inventory Answer (January 1) 19,500

Net delivered cost of materials purchased 207,000

Cost of material available Answer : 226500

Less: Materials inventory (December 31) 30,000

Total materials used Answer 196500

Less: Indirect material used 21,000

Direct material used Answer 175,500

Direct labor Answer 262500

Manufacturing overhead

Other Factory Overhead 39000

Indirect material Answer 21000

Indirect labor Answer 28500

Factory supplies used Answer 18000

Factory depreciation Answer 45000

Factory rent Answer 27000

Total manufacturing overhead Answer 178500

Total manufacturing costs for the year Answer 616500

Add: Work in process inventory (January 1) 27,000

Total cost of work in process during the year 643,500

Less: Work in process inventory ( December 31) 46,500

Cost of goods manufactured 597000

Add: Finished goods inventory (January 1) 85,500

Cost of goods available for sale Answer 682,500

Less: Finished goods inventory (December 31) 78,000

Cost of goods sold Answer 604,500

We add and subtract the amounts according to the schedule.

In this schedule the indirect material is deducted from the direct materials inventory and added to the factory overhead because it is not treated as a direct expense rather it is an indirect expense.

The following are not related to the cost of manufacturing of products and are excluded from the CGS.

Administrative salaries (non-factory) $105,000

Administrative rent (non-factory) 52,500

Advertising and promotion expense 61,500

Depreciation-administrative 33,000

Depreciation-selling 25,500

Sales 1,267,500

Sales salaries expense 108,000

These are included in the net income statement.

You might be interested in

Scarlet Corporation, the parent corporation, has a basis of $600,000 in the stock of Brown Corporation, a subsidiary in which Sc

Anon25 [30]

Answer:

$950,000

Explanation:

As per IRS section 332, in the case when the parent company received a property when the complete liquidation of subsidiary company is done so the receipts of such property would not recorded either any loss or gain. Also the basis of the parent company assets would be carry over basis.

So here the basis would be $950,000

The same is to be considered

3 0

3 years ago

Under the all-events test, in addition to specifying that all events to establish the liability must have occurred, the test als

IgorC [24]

Answer:

TRUE

Explanation:

It is true that under the all-events test, in addition to specifying that all events to establish the liability must have occurred, the test also provides that the business must be able to determine the amount of the liability with reasonable accuracy

Under Sec. 461(h), a three-prongall-events test is met when

(1) all events have occurred that establish the fact of the liability;

(2) the amount of the liability can be determined with reasonable accuracy; and

(3) economic performance has occurred.

8 0

3 years ago

Read 2 more answers

Reggie, a resident of South Dakota, has an accident with Toby, a resident of Utah, while driving through that state. Toby files

Tanya [424]

Answer: in personam jurisdiction

Explanation: The “long-arm statute,” is a law in majority of states that explains when a court can have in personam jurisdiction over parties who do not reside in that state. Certain conditions must be met for the court to have this jurisdiction. In general, the cause of action should have occurred in the state where the case is being filed; the defendant was personally served with the court papers in the state; or the defendant has a minimum contact with the state.

In personam jurisdiction is defined as a court's jurisdiction over the parties in a lawsuit, that is, it has both the authority to rule on the law and evidences of a suit and the power to enforce its decision upon all parties to the suit.

7 0

3 years ago

Other things equal, demand tends to be more __________ the more substitutes there are available, and more _________ when the hig

melamori03 [73]

Answer:

Elastic/ Inelastic

Explanation:

Price elasticity of demand is a tool use to measure in economics to show the elasticity, or responsiveness, of the demanded quantity of goods or services to increase in its price. When the price of a good or service changes, inelastic demand is when the buyer's demand does not change when the price of the good or service changes.

6 0

3 years ago

Read 2 more answers

Who sets guidelines for the exemption as it applies to earnings?

Sever21 [200]

The annual exempt amount applies to the earnings of each non-grace taxable year prior to the year of full retirement age, as defined

6 0

3 years ago