Using this data:
Raw material Purchases: $100,000
Percentage of raw material purchases transferred to Work in Process: 50%
Direct Labor: $200,000
Overhead: $300,000
Total Depreciation: $30,000 which 80% is for Inventory production and 20% for SG&A
Work in Process completed: 70%
Finish Goods that is sold: 90%
This rebot will allocale materlat, taber, and evecheod costs to financial atatementa. It assumes all there is ne beginning inventery. Silect values from the pick lists accessible from the boocd areas bolow. Then, scroll down and review the resulting allocation of sests to the balanse sheet and income statement acceunts. Try alterative values and tast the calculations to be sure you understand them. These concepts are very important to prasp. It may be helptul for you to review the "materials" diagram of the very bottom of this robot, and then sketch your own diraing for iabor and overthesd. Select the amount of raw matecial purchases >>0 : Select the parcentage of raw enaterial purchases transferred to work in production > os Select the amount of direct labor >>> Seiect the amount of manufacturitg everbead >>> ? Select total depreciatien (including portions in everhead above) >> Select the parcentage of depreciation that relates to inventery production the remainder ia assumed to ratate to sos.A) >> ? Select the percentage of wark in procass that was cempleted > Select the percentage of finished goods imventory that was sold >> Totals to be allocated to balance sheet and income statement: The above numbers include depreciation (a portion of the total overhead cost), which has been allocated to financial statement elements as shown below: This rebot will allocale materlat, taber, and evecheod costs to financial atatementa. It assumes all there is ne beginning inventery. Silect values from the pick lists accessible from the boocd areas bolow. Then, scroll down and review the resulting allocation of sests to the balanse sheet and income statement acceunts. Try alterative values and tast the calculations to be sure you understand them. These concepts are very important to prasp. It may be helptul for you to review the "materials" diagram of the very bottom of this robot, and then sketch your own diraing for iabor and overthesd. Select the amount of raw matecial purchases >>0 : Select the parcentage of raw enaterial purchases transferred to work in production > os Select the amount of direct labor >>> Seiect the amount of manufacturitg everbead >>> ? Select total depreciatien (including portions in everhead above) >> Select the parcentage of depreciation that relates to inventery production the remainder ia assumed to ratate to sos.A) >> ? Select the percentage of wark in procass that was cempleted > Select the percentage of finished goods imventory that was sold >> Totals to be allocated to balance sheet and income statement: The above numbers include depreciation (a portion of the total overhead cost), which has been allocated to financial statement elements as shown below
