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Thank you in advance for answering this, struggling a bit Dell Inc. manufactures computers and uses a job costing system. They recorded the following information
Thank you in advance for answering this, struggling a bit
- Dell Inc. manufactures computers and uses a job costing system. They recorded the following information for the current year.
Beginning Ending
Materials Inventory 35,000 28,000
Work in Process 18,000 14,500
Finished Goods 16,000 24,000
Rent 125,000
General & Admin Expense 18,500
Depreciation 45,000
Indirect Materials 50,000
Indirect Labor 55,000
Marketing Expense 120,000
Current year sales 1,020,000
- Purchased 39,000lbs of material used to manufacture computers. The cost per pound was $10.
- Direct labor personnel earned $20 per hour. There were 6,500 direct labor hours for the year.
- Dell incurred and paid $12,000 of property taxes which were all related to the office building.
- Dell incurred $45,000 of depreciation on manufacturing equipment.
- The rent expense was related to both the manufacturing plant and the office building. 60% was related to the manufacturing plant and 40% was related to the office building.
- Dell incurred other factory overhead costs for the year in the amount of $3,200
Prepare a cost of goods manufactured statement, calculate cost of goods sold, and prepare an income statement for the current year for Dell, Inc.
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