Antioch Company makes eBook readers. The company had the following amounts of the beginning of Year 2. Casi 5673.000 Raw Materiais inventory. 553.000, Work in Process inventory, $26.000. Finished Goods Inventory, 560.000. Common Stock $599,000, and Retained Earnings. $213,000. Amoch experienced the folowing accounting events during Year 2. Other than the adjusting entries for depreciation, assume that all transactions are cash transactions 1. Pald $30.000 of research and development costs 2. Pald $49.000 for raw materials that will be used to make eBook readers. 3. Placed 586,000 of the raw materials cost into the process of manufacturing Book readers 4. Pald $68,000 for salaries of selling and administrative employees 5. Paid $106.000 for wages of production workers 6. Paid $156,000 to purchase oument used in sering and administrices 7 Recogn zed depreciation on the office equipment. The woment was scored on January 2s $15,000 savage value and a seven year. The amount of deprecation is comoedas Cost-evei-use Specifico $456.000 - $16.000)- 7 - $20.000 B. Paid $134,000 to purchase manufacturing courent 9. Recognized depreciation on the manufacturing coment Thema 2520.000 savage value and a seven-year fo. The amount of depreciations cometadas Cost - sute Soccer ($134 000 - $29.0001-7515.000 10. Paid 551000 for rent and it costs on the manufacturing fact 11 Paid $75.000 for inventory holding costs for complete cookies of mousece of wrencse personnel and other general storage cos! 12. Completed and transferred Book readers that had total cost of $350.000 from one in Orocess to the goods 13 Soid 1.000 eBook redes to $421.000 14 It Cost Antioch 5320.000 to the Boxes din Event 3 Hea He how how the events affect the balance sheet mettent and statement cash flow by recording them in a francia ndalohet with the Statement of Caths indicate whether the item is conting ty (OAN (TA), uffing met een the ANTIOCCO Tanah then RA WAR ca Vind UVO u Manda M 07.00 53,000 20.00 90.000 10.000 000 2 3 - . 4 10 11 Problem 10-27A (Algo) Schedule of cost of goods manufactured and sold LO 10-3 Antioch Company makes eBook readers. The company had the following amounts at the beginning of Year 2: Cash, 5673.000, Raw Materials Inventory. 553.000, Work in Process Inventory, $26.000 Finished Goods Inventory. 560,000. Common Stock, $599,000, and Retained Earnings $213.000. Antioch experienced the following accounting events during Year 2. Other than the adjusting entries for depreciation, assume that all transactions are cash transactions 1. Paid $30,000 of research and development costs 2. Paid $49,000 for raw materials that will be used to make eBook readers 3. Placed $86,000 of the raw materials cost into the process of manufacturing eBook readers 4. Paid $68.000 for salaries of selling and administrative employees 5. Paid $106.000 for wages of production workers, 6. Paid $156,000 to purchase equipment used in selling and administrative offices, 7. Recognized depreciation on the office equipment. The equipment was acquired on January 1 Year 2. It has a $16,000 salvage value and a seven year life. The amount of depreciation is computed as {Cost - salvage)useful life) Specifically. ($156,000 - $16,000) - 7 = $20,000 8. Paid $134,000 to purchase manufacturing equipment 9. Recognized depreciation on the manufacturing equipment. The equipment was acquired on January 1 Year 2. It has a $29,000 salvage value and a seven-year ife. The amount of depreciation is computed as tiCost - salvage useful life). Specifically 10. Paid $51000 for rent and utility costs on the manufacturing facility 11. Paid $76,000 for inventory holding expenses for completed eBook readers frental of warehouse space. salaries of warenouse personnel, and other general storage cost) 12. Completed and transferred eBook readers that had total cost of $250,000 from work in process inventory to finished goods 13. Sold 1,000 eBook readers for $421.000 14. It cost Antioch $220.000 to make the eBook readers sold in Event 13. Required
