Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The cost of goods sold budget integrates the direct materials purchases budget, direct labor cost budget, and factory overhead cost budget. Estimated and desired inventories

The cost of goods sold budget integrates the direct materials purchases budget, direct labor cost budget, and factory overhead cost budget. Estimated and desired inventories for direct materials, work in process, and finished goods must also be integrated into the cost of goods sold budget.

Complete the preparation of the cost of goods sold budget for LearnCo, using information that follows provided by the controller, and using the previous budgets you have prepared.

LearnCo
Cost of Goods Sold Budget
For the Year Ending December 31, 20Y2
Finished goods inventory, January 1, 20Y2 $9,870
Work in process inventory, January 1, 20Y2 $2,010
Direct materials:
Direct materials inventory, January 1, 20Y2 $2,000
Direct materials purchases
Cost of direct materials available for use $
Less direct materials inventory, December 31, 20Y2 1,800
Cost of direct materials placed in production $
Direct labor
Factory overhead
Total manufacturing costs
Total work in process during period $
Less work in process inventory, December 31, 20Y2 1,250
Cost of goods manufactured
Cost of finished goods available for sale $
Less finished goods inventory, December 31, 20Y2 1,500
Cost of goods sold $

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

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

f. Did they change their names? For what reasons?

Answered: 1 week ago