Question
Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of December 2016:
Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of December 2016:
1 |
| Prius Company | Volt Company |
2 | Materials inventory, December 1 | $280,280.00 | $179,000.00 |
3 | Materials inventory, December 31 | (a) | 177,500.00 |
4 | Materials purchased | 712,000.00 | 340,000.00 |
5 | Cost of direct materials used in production | 752,000.00 | (a) |
6 | Direct labor | 1,059,600.00 | (b) |
7 | Factory overhead | 325,200.00 | 179,600.00 |
8 | Total manufacturing costs incurred during December | (b) | 1,035,000.00 |
9 | Total manufacturing costs | 2,676,800.00 | 1,479,500.00 |
10 | Work in process inventory, December 1 | 540,000.00 | 444,500.00 |
11 | Work in process inventory, December 31 | 451,400.00 | (c) |
12 | Cost of goods manufactured | (c) | 1,027,500.00 |
13 | Finished goods inventory, December 1 | 478,400.00 | 201,000.00 |
14 | Finished goods inventory, December 31 | 495,200.00 | (d) |
15 | Sales | 4,143,000.00 | 1,676,500.00 |
16 | Cost of goods sold | (d) | 1,053,500.00 |
17 | Gross profit | (e) | (e) |
18 | Operating expenses | 540,000.00 | (f) |
19 | Net income | (f) | 383,000.00 |
Required: | |||
A. | Determine the amounts of the missing items, identifying them by letter. Enter all amounts as positive numbers. | ||
B. | Prepare Volt Companys statement of cost of goods manufactured for December.* | ||
C. | Prepare Volt Companys income statement for December.*
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Amount Descriptions
Amount Descriptions | |
Cost of direct materials used in production | |
Cost of finished goods available for sale | |
Cost of goods manufactured | |
Cost of goods sold | |
Cost of materials available for use | |
Direct Labor | |
Factory overhead | |
Finished goods inventory, December 1, 2016 | |
Finished goods inventory, December 31, 2016 | |
Gross profit | |
Materials inventory, December 1, 2016 | |
Materials inventory, December 31, 2016 | |
Net income | |
Operating expenses | |
Purchases | |
Sales | |
Total manufacturing costs incurred during December | |
Work in process inventory, December 1, 2016 | |
Work in process inventory, December 31, 2016 |
Starting Question
A. Determine the amounts of the missing items, identifying them by letter. Enter all amounts as positive numbers.
Letter | Prius Company | Volt Company |
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a. | ||
b. | ||
c. | ||
d. | ||
e. | ||
f. |
Statement of Cost of Goods Manufactured
B. Prepare Volt Companys statement of cost of goods manufactured for December. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Less or Plus will automatically appear if it is required. Enter all amounts as positive numbers.
Volt Company |
Statement of Cost of Goods Manufactured |
For the Month Ended December 31, 2016 |
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2 | Direct materials: |
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11 | Total manufacturing costs |
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Income Statement
C. Prepare Volt Companys income statement for December. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Less or Plus will automatically appear if it is required. Enter all amounts as positive numbers.
Volt Company |
Income Statement |
For the Month Ended December 31, 2016 |
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2 | Cost of goods sold: |
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