Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Basilio Company has a cycle time of 3 days, uses a Materials and In Process (MIP) account, and charges all conversion costs to Cost of

Basilio Company has a cycle time of 3 days, uses a Materials and In Process (MIP) account, and charges all conversion costs to Cost of Goods Sold. At the end of each month, all inventories are counted, their conversion costs components are estimated and inventory account balances are adjusted. Raw material cost is backflushed from MIP to Finished Goods. The following information id for June:

Beginning balance MIP account, including P3,000 of

conversion costs P29,250

Beginning balance of finished goods account, including

P10,000 of conversion costs 30,000

Raw materials received on credit 562,500

Ending MIP inventory per physical count,

including P4,500 of conversion costs 32,000

Ending finished goods inventory per physical

count, including P8,750 of conversion costs 26,250

What is the balance of cost of goods sold on June?

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

College Accounting

Authors: Heintz and Parry

20th Edition

1285892070, 538489669, 9781111790301, 978-1285892078, 9780538489669, 1111790302, 978-0538745192

More Books

Students also viewed these Accounting questions

Question

=+2. What is up with the Eagles?

Answered: 1 week ago

Question

=+1. Does this comparison surprise you? Why or why not?

Answered: 1 week ago