Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

B. The following information was taken from the accounting records of Happy Hour Sdn Bhd (HHSB) for the year 2019: Items RM Advertising expenses 100.000

image text in transcribed

B. The following information was taken from the accounting records of Happy Hour Sdn Bhd (HHSB) for the year 2019: Items RM Advertising expenses 100.000 Utilities expense 36,000 Direct labour cost 150,000 Depreciation expense 145,000 Purchases of raw materials 800,000 Sales 2,450,000 Insurance expense 40,000 Indirect materials 15,000 Administrative expenses 199,000 Indirect labour 170,000 Maintenance and repair 94,000 Sales commissions 12.000 Rental expense 77,000 Additional information: 1. Insurance, utilities and depreciation expenses consist of 70% for factory and 30% for office. 2. Only half of the maintenance and repair cost belongs to the factory. 3. Rental expense includes RM37,000 of office rental. 4. Production in 2019 was 50,000 units. 5. Inventory balances at the beginning and ending of the year 2019 were: 1 January 31 December (RM) (RM) Raw materials 65,000 78,000 Work in process 150,000 112,000 Finished goods 235,000 215,000 REQUIRED: (a) Prepare a schedule of cost of goods manufactured for the year ended 31 December 2019. (8 Marks) (b) Construct the equation for total manufacturing cost based on your answer in (a). Assume that manufacturing overhead costs are fixed, and the other manufacturing costs are variables. (2 Marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Anxiety Audit

Authors: Lynn Lyons

1st Edition

0757324258, 978-0757324253

More Books

Students also viewed these Accounting questions

Question

What methods do communication scholars use to conduct research?

Answered: 1 week ago