Answered step by step
Verified Expert Solution
Question
1 Approved Answer
[The following information applies to the questions displayed below.] Selected data concerning the past years operations of the Ozarks Manufacturing Company are as follows: Inventories
[The following information applies to the questions displayed below.] Selected data concerning the past years operations of the Ozarks Manufacturing Company are as follows:
Inventories | ||||||
Beginning | Ending | |||||
Raw material | $ | 61,000 | $ | 81,000 | ||
Work in process | 80,000 | 30,000 | ||||
Finished goods | 90,000 | 110,000 | ||||
Other data:
Direct material used | $ | 334,000 | |
Total manufacturing costs charged to production during the year (includes direct material, direct labor, and manufacturing overhead applied at a rate of 60% of direct-labor cost) | 686,000 | ||
Cost of goods available for sale | 826,000 | ||
Selling and administrative expenses | 30,500 | ||
Required: 1. What was the cost of raw materials purchased during the year?
2. What was the cost of goods sold during the year?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started