Renton Custom Windows produces custom windows for business and residential customers who supply Renton with architectural specifications.
At the start of 2017, three jobs were in process:
Cost incurred as of 1/1/2017
Job 258 ................................... $5,000
Job 259 .................................... 6,000
Job 260 ................................... 3,500
Also at the start of 2017, one job was completed and awaiting shipment:
Cost incurred as of 1/1/2017
Job 257 ................................... $9,000
During 2017, the company incurred the following costs:
Direct material ..................... $ 750,000
Direct labor ......................... 1,650,000
Manufacturing overhead ......... 2,150,000
At the end of 2017, two jobs were in process:
Cost incurred as of 12/31/2017
Job 345 .............................. $2,500
Job 346 ................................. 5,900
In addition, four jobs were completed and awaiting shipment:
Cost incurred as of 12/31/2017
Job 341 ............................. $1,500
Job 342 .............................. 3,300
Job 343 .............................. 2,400
Job 344 .............................. 4,500
Required
a. What are the beginning and ending balances in Work in Process Inventory?
b. What are the beginning and ending balances in Finished Goods Inventory?
c. What is Cost of Goods Sold? What job numbers likely relate to the balance in Cost of Goods Sold?