Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Nasaq Industrial Enterprise was established on 1 January 2018 with a capital of 180.000$. The company purchased fixtures for $ 15,000 and production equipment for

Nasaq Industrial Enterprise was established on 1 January 2018 with a capital of 180.000$. The company purchased fixtures for $ 15,000 and production equipment for $ 42,000. It is estimated that the useful life of the fixtures will be 5 years and the scrap value will be zero, the useful life of the production equipment will be 4 years and the scrap value will be 6,000 $. 18,000 $ for business administrative staff and for workers working in production

He paid 24.000 $. 4,000 $ of the labor costs paid for workers working in production is indirect labor. Lastly, the enterprise used 27.000 $ of raw materials and 3.000 $ of it was indirect raw materials. The company started the production of 6,000 products and 4,000 of them were completed. At the end of the period, semi-finished products are 50% complete in terms of all production costs (equivalent product quantity 1.000 pieces). From the manufactured products

3,500 of them were sold at a unit price of 20 $ in 2018.

Wanted:

a) Calculate the total and unit cost of the product manufactured in 2018.

b) Calculate the cost of products sold in 2018.

c) Calculate the semi-finished product amount at the end of 2018.

d) Calculate the amount of finished goods at the end of 2018.

e) Calculate the gross sales profit for 2018.

f) Calculate the net profit or loss (operating profit / loss) for the year 2018.

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_2

Step: 3

blur-text-image_3

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

Evaluate lim x1 3x 1 / x 1.

Answered: 1 week ago