Question

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.

Answer 1

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