Work backwards to find missing amounts (Learning Objective 5)}

Smooth Sounds manufactures and sells a new line of MP3 players. Unfortunately, Smooth Sounds suffered serious fire damage at its home office. As a result, the accounting records for October were partially destroyed-and completely jumbled. Smooth Sounds has hired you to help figure out the missing pieces of the accounting puzzle. Assume that Smooth Sounds' raw materials inventory contains only direct materials.

Requirement Find the following amounts:

a. Cost of goods sold in October

b. Beginning raw materials inventory

c. Ending finished goods inventory

Transcribed Image Text:

Work in process inventory, October 31. $ 1,500 Finished goods inventory, October 1. 4,300 Direct labor in October. 3,000 Purchases of direct materials in October. Work in process inventory, October 1.... 9,000 0 Revenues in October. Gross profit in October....... Direct materials used in October. Manufacturing overhead in October. 27,000 12,000 8,000 Raw materials inventory, October 31. 3,000 6,300