Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

CHAPTER 2 Managerial Accounting Concepts/Job Costing 57 Classify the costs listed in Problem 2-1 as either product costs or period costs product or period cess

image text in transcribed
image text in transcribed
image text in transcribed
CHAPTER 2 Managerial Accounting Concepts/Job Costing 57 Classify the costs listed in Problem 2-1 as either product costs or period costs product or period cess LO. 3) Good Vibrations, Inc, produces recordings of musical performances. A newly hired executive of the tne company has asked you to sort through the records and prepare a statement of the company's Prepare o goods manufactured. You find the following data from records prepared by Good t of Vibrai manufactured. You find the following data from records prepared by Good mer Inc., for the year ended December 31, 2013: goods Inventories: Beginning Direct Materials Inventory, January 1, 2013 $ 6,000 10,500 10,000 Ending Direct Materials Inventory, December 31, 2013 Beginning Work in Process Inventory, January 1, 2013 Ending Work in Process Inventory, December 31, 2013 Materials Purchases Direct Labor Indirect Labor Factory Utilities Expense Factory Supplies Expense 9,500 50,000 5,000 7,000 5,000 14,000 10,500 pro Other Manufacturing Overhead CAppliep) 25,000 You also leam that beginning Finished Goods Inventory on January 1,2013, was $20,000 and ending Finished Goods Inventory on December 31, 2013, was $5,000. Sales for the year were 5400,000. Selling expenses were s50,000 and administrative expenses were $75,000 Required Prepare a statement of cost of goods manufactured for Good Vibrations, Inc., for the year ended December 31, 2013. Prepare an income statement for Good Vibrations, Inc., for the year ended December 31, 2013. a. b. Log Cabin Homes, Inc., uses a job cost system to account for its jobs, which are prefabricated houses. As of January 1, 2014, its records showed inventories as follows: Materials and supplies Work in process (Job Nos. 22 and 23) Finished goods (Job 21) $100,000 180,000 140,000 The work in procs isr bs Direct Direct Manufacturing Materials Labor Overhead Total Job No. $36,000 $40,000 $20,000 $96,000 40,000 28,000 16,000 84,000 23 $76,000 $68,000 $36,000 $180,000 Cost and sales data for 2014: I. Materials purchased on account, $400,000. 2. Direct materials used: Job No. 22, $60,000; Job No. 23, $120,000; Job No. 24, s180 Indirect materials used, $10,000. Direct labor costs. Job No. 22, S100 000, Job No. 23S200,000, and Job No. 24$80,000. Indirect labor costs, $80,000. 3

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

Governmental Accounting Auditing And Financial Reporting

Authors: Stephen J. Gauthier

1st Edition

0891252754, 978-0891252757

More Books

Students also viewed these Accounting questions

Question

answer fairley 6 3 . What is a collimator in nuclear imaging?

Answered: 1 week ago

Question

Analyse the various techniques of training and learning.

Answered: 1 week ago