Question
The following data from the just completed year are taken from the accounting records of Mason Company: Sales $ 654,000 Direct labor cost $ 87,000
The following data from the just completed year are taken from the accounting records of Mason Company:
Sales | $ 654,000 |
---|---|
Direct labor cost | $ 87,000 |
Raw material purchases | $ 137,000 |
Selling expenses | $ 109,000 |
Administrative expenses | $ 46,000 |
Manufacturing overhead applied to work in process | $ 225,000 |
Actual manufacturing overhead costs | $ 201,000 |
Inventories | Beginning | Ending |
---|---|---|
Raw materials | $ 8,300 | $ 10,400 |
Work in process | $ 5,300 | $ 20,500 |
Finished goods | $ 74,000 | $ 25,500 |
Required:
1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials.
2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold.
3. Prepare an income statement.
1.Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials.
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2.Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold.
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3.Prepare an income statement.
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