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The following are some data taken from the accounting records of PT. Eternal Health in 2021: Purchase of raw materials IDR 400,000,000 Direct labor 525,000,000
The following are some data taken from the accounting records of PT. Eternal Health in 2021:
Purchase of raw materials | IDR 400,000,000 |
Direct labor | 525,000,000 |
Indirect labor | 230,000,000 |
Salaries of sales and administration employees | 270,000,000 |
Building depreciation * | 200,000,000 |
Other selling and administrative expenses | 420.000.000 |
Miscellaneous factory costs | 700,000,000 |
Sales revenue (price per unit IDR 325,000) | 3.250,000,000 |
* 75% of the building is used for production activities and the rest for sales and administrative functions |
Inventory data:
January 1, 2021 | December 31, 2021 | |
Raw material | IDR 33,000,000 | IDR 38,000,000 |
In-process inventory | 85,000,000 | 135,000,000 |
Finished goods * | 220,000,000 | 191.200.000 |
* Finished goods inventory consists of 1,375 units on January 1, 2021 and 1,195 units on December 31, 2021 |
Requested:
- What is the total production cost in 2021?
- What is the total prime cost and total conversion cost in 2021?
- What is the total product cost (inventoriable cost) and the total periodic cost (period cost) in 2021?
- Explain what the impact on the company's financial reporting if there is a misclassification of a cost that should be a periodic cost but is recognized as a product cost.
- What is the total cost of goods manufactured in 2021?
- What is the total cost of goods sold in 2021?
- If management calculates costs for 2021 with the cost object being the production division, what is the total direct costs?
- Which of the costs in the company behaves as variable costs, fixed costs, and mixed costs. Explain your argument.
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