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Information from The Crossword Company for the month ended June 30, 2022 is given below. All amounts are in thousands of U.S. dollars. Sales
Information from The Crossword Company for the month ended June 30, 2022 is given below. All amounts are in thousands of U.S. dollars. Sales Selling and administrative costs Purchases of raw materials Direct labor Manufacturing overhead Raw materials used (all direct cost) Cost of goods manufactured Raw materials inventory, June 1, 2022 "WIP" inventory, June 1, 2022 Finished goods inventory, June 1, 2022 Finished goods inventory, June 30, 2022 $350 26 9 11 105 11 68 30 103 90 75 15 Required: Determine each of the following amounts in dollars. Show all calculations. a) Ending Raw Materials Inventory, assuming all raw materials costs are classified as direct costs. b) Ending Work-in-Process ("WIP") Inventory. c) Cost of Goods Sold. d) Briefly explain the difference between product costs and period costs, and how manipulation of the classifications may be used in earnings management.
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