Rundle Corporation builds sailboats. On January 1, 2019, the company had the following account balances: $85,000 for both cash and common stock. Boat 25 was started on February 10 and finished on May 31. To build the boat, Rundle had incurred cash costs of $4,100 for labor and $3,550 for materials. During the same period, Rundle paid $8,170 cash for actual manufacturing overhead costs. The company expects to incur $260,000 of indirect overhead cost during 2019. The overhead is allocated to jobs based on direct labor cost. The expected total labor cost for the year is $130,000 Rundle uses a just-in-time inventory management system. Consequently, it does not have raw materiais inventory. Raw materials purchases are recorded directly in the Work in Process Inventory account Required a. Use the horizontal financial statements model, to record Rundie's business events. The first row shows beginning balances. b. If Rundle desires to earn a profit equal to 10 percent of cost, for what price should it sell the boat? c. W the boat is not sold by year-end, what amount would appear in the Work in Process Inventory and Finished Goods Inventory on the balance sheet for Boat 257 d. Is the amount of inventory you calculated in Requirement c the actual or the estimated cost of the boat? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required Required Nequired Use the horizontal financial statements model to record Rundle's business events. The first row shows beginning balances (Do not found intermediate calculations, inter any decreases to account bala witamin Cash Work in Process Assets Finished Goods Manufacturing Overhead Equity 85,000 (4.100) (3.550) 18.170) Common Stock 85.000 Retained earnings Revenue + 4,100 3.550. Expense 4 Net Income O + . + 8,170 (15.820). 8.170 (8.170) = 59.180 + D (15.820). (15.820) 0 85.000 O Required a 0 Rundle Corporation builds sailboats. On January 1, 2019, the company had the following account balances: $85,000 for both cash and common stock. Boat 25 was started on February 10 and finished on May 31. To build the boat, Rundle had incurred cash costs of $4,100 for labor and $3,550 for materials. During the same period, Rundle paid $8,170 cash for actual manufacturing overhead costs, The company expects to incur $260,000 of indirect overhead cost during 2019. The overhead is allocated to jobs based on direct labor cost. The expected total labor cost for the year is $130,000 Rundle uses a just-in-time inventory management system. Consequently, it does not have raw materials inventory, Raw materials purchases are recorded directly in the Work in Process Inventory account Required a. Use the horizontal financial statements model, to record Rundle's business events. The first row shows beginning balances b. Rundle desires to earn a profit equal to 10 percent of cost, for what price should it sell the boat? c. If the boat is not sold by year-end, what amount would appear in the Work in Process Inventory and Finished Goods Inventory on the balance sheet for Boat 25? d. Is the amount of inventory you calculated in Requirement c the actual or the estimated cost of the boat? Answer la complete burnot entirely correct. Complete this question by entering your answers in the tabs below Required Required Regione Required i Rande des to earn a profit equal to 10 percnt of cost, for what price should it will the boar? (Do not round ente culations Mand your final wwer to 2 decimal places) De red pro 17.402.00 Rundle Corporation builds sailboats. On January 1, 2019, the company had the following account balances: $85,000 for both cash and common stock. Boat 25 was started on February 10 and finished on May 31. To build the boat, Rundle had incurred cash costs of $4,100 for labor and $3,550 for materials. During the same period, Rundle paid $8.170 cash for actual manufacturing overhead costs. The company expects to incur $260,000 of indirect overhead cost during 2019. The overhead is allocated to jobs based on direct labor cost. The expected total labor cost for the year is $130,000. Rundle uses a just-in-time inventory management system. Consequently, it does not have raw materials inventory. Raw materials purchases are recorded directly in the Work in Process Inventory account. Required a. Use the horizontal financial statements model, to record Rundle's business events. The first row shows beginning balances. b. M Rundle desires to earn a profit equal to 10 percent of cost, for what price should it sell the boat? c. If the boat is not sold by year-end, what amount would appear in the Work in Process Inventory and Finished Goods Inventory on the balance sheet for Boat 25? d. Is the amount of inventory you calculated in Requirement c the actual or the estimated cost of the boat? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required Required Required D If the boat is not sold by year-end, what amount would appear in the Work in Process Inventory and Finished Goods leventory on the balance sheet for Boat 257 (Do sodiemediate calculation) $ 15,8203 Work in process inventory Finished goods Inventory
