Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

help! thank you in advance! Prepare an income statement for Year 2. Complete this question by entering your answers in the tabs below. Prepare a

help! thank you in advance!
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Prepare an income statement for Year 2. Complete this question by entering your answers in the tabs below. Prepare a balance sheet for Year 2. VERNON MANUFACTURING COMPANY Balance Sheot At December, Year 2 Assets Complete this question by entering your answers in the tabs below. Prepare a schedule of cost of goods manufactured and sold for Year 2. \begin{tabular}{|l|l|} \hline \multicolumn{2}{|c|}{ VERNON MANUFACTURING COMPANY } \\ Cost of Goods Manufactured and Sold \\ For the Yoar Ended December, Year 2 \\ \hline & \\ \hline Raw materials available \\ \hline Raw materials used & \\ \hline & \\ \hline Total manufacturing costs & \\ \hline Total work in process inventory \\ \hline Cost of goods manufactured & \\ \hline Cost of goods avalable for sale \\ \hline Cost of goods sold & \\ \hline \end{tabular} Problem 11-19A (Algo) Manufacturing cost flow for one-year period LO 11-1, 11-2, 11-3 Vernon Manufacturing started in Year 2 with the following account bolances. Cash Connon stock Retained earnings Raw materials inventory Work in plocess inventory Finished goods inventory (380 units 9$5.95 each) $6,0005,1515,4001,4008902,261 Transactions during Year 2 1. Purchased $2,890 of raw materials with cash. 2. Transferred $3,770 of raw materials to the production department. 3. Incurred and paid cash for 240 hours of direct labor $15.30 per hour. 4. Applied overheod costs to the Work in Process Inventory account. The predetermined overhead rate is $16.00 per direct labor hour. 5. Incurred actual overhead costs of $4,000 cash. 6. Completed work on 1,250 units for $6,00 per unit. 7. Paid $1,160 in selling and administrative expenses in cash. 8. Sold 1,250 units for $10,600 cash revenue (assume FiFO cost flow). 9. Vernon charges overapplied or underapplied overhead directly to Cost of Goods Sold. Required a. Record the preceding events in a horizontal statements model. The beginning balances are shown as an example. b-1. Prepare a schedule of cost of goods manufactured and sold for Year 2 . b-2. Prepare an income statement for Year 2. b-3. Prepare a bolance sheet for Year 2

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions