Homework Help is Here – Start Your Trial Now!
Business
Accounting
Number 1 An analysis of the accounts of Williams Company reveals the following manufacturing cost data for the month ended September 30, 2017 tad Beginning $12,000 7,500 10,000 Ending $11,300 5,000 12,000 ing May Inventories Raw materials Work in process Finished goods Costs incurred: raw materials purchases $62,500, direct labor $51,000, manufacturing overhead $25,650. The specific overhead costs were: indirect labor $6,500, factory insurance $5,000, machinery depreciation $6,000, machinery repairs $2,800, factory utilities $3,600, miscellaneous factory costs $1,750. Assume that all raw materials used were direct materials. Instructions (a) Prepare the cost of goods manufactured schedule for the month ended 9/30/17. cach (b) (b) (c) Show the presentation of the ending inventories on 9/30/17, Balance Sheet. dicate Williams Company is considering the purchase of a new automated assembly line for its factory. The purchase would result in several changes in Williams' cost structure. Both direct labor and indirect labor would decrease by 40 %. Factory insurance would increase to $8,000, machinery depreciation would double, machinery repairs would decrease to $500, utilities would decrease to $2,500 and miscellaneou factory costs would increase to $1,850. Materials usage would remain at current levels. an (d Analy hours. 125 hou Analyze the new purchase by preparing a cost of goods manufactured schedule for September 30, 2017 using the new data. Should Williams Company make this purchase? Explain the factors that should be considered in the decision? (c)

Number 1 An analysis of the accounts of Williams Company reveals the following manufacturing cost data for the month ended September 30, 2017 tad Beginning $12,000 7,500 10,000 Ending $11,300 5,000 12,000 ing May Inventories Raw materials Work in process Finished goods Costs incurred: raw materials purchases $62,500, direct labor $51,000, manufacturing overhead $25,650. The specific overhead costs were: indirect labor $6,500, factory insurance $5,000, machinery depreciation $6,000, machinery repairs $2,800, factory utilities $3,600, miscellaneous factory costs $1,750. Assume that all raw materials used were direct materials. Instructions (a) Prepare the cost of goods manufactured schedule for the month ended 9/30/17. cach (b) (b) (c) Show the presentation of the ending inventories on 9/30/17, Balance Sheet. dicate Williams Company is considering the purchase of a new automated assembly line for its factory. The purchase would result in several changes in Williams' cost structure. Both direct labor and indirect labor would decrease by 40 %. Factory insurance would increase to $8,000, machinery depreciation would double, machinery repairs would decrease to $500, utilities would decrease to $2,500 and miscellaneou factory costs would increase to $1,850. Materials usage would remain at current levels. an (d Analy hours. 125 hou Analyze the new purchase by preparing a cost of goods manufactured schedule for September 30, 2017 using the new data. Should Williams Company make this purchase? Explain the factors that should be considered in the decision? (c)

College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter26: Manufacturing Accounting: The Job Order Cost System
Section: Chapter Questions
Problem 2SEA: SCHEDULE OF COST OF GOODS MANUFACTURED The following information is supplied for Maupin...
See similar textbooks
icon
Related questions
Question
Number 1 An analysis of the accounts of Williams Company reveals the following manufacturing cost data for the month ended September 30, 2017 tad Beginning $12,000 7,500 10,000 Ending $11,300 5,000 12,000 ing May Inventories Raw materials Work in process Finished goods Costs incurred: raw materials purchases $62,500, direct labor $51,000, manufacturing overhead $25,650. The specific overhead costs were: indirect labor $6,500, factory insurance $5,000, machinery depreciation $6,000, machinery repairs $2,800, factory utilities $3,600, miscellaneous factory costs $1,750. Assume that all raw materials used were direct materials. Instructions (a) Prepare the cost of goods manufactured schedule for the month ended 9/30/17. cach (b) (b) (c) Show the presentation of the ending inventories on 9/30/17, Balance Sheet. dicate Williams Company is considering the purchase of a new automated assembly line for its factory. The purchase would result in several changes in Williams' cost structure. Both direct labor and indirect labor would decrease by 40 %. Factory insurance would increase to $8,000, machinery depreciation would double, machinery repairs would decrease to $500, utilities would decrease to $2,500 and miscellaneou factory costs would increase to $1,850. Materials usage would remain at current levels. an (d Analy hours. 125 hou Analyze the new purchase by preparing a cost of goods manufactured schedule for September 30, 2017 using the new data. Should Williams Company make this purchase? Explain the factors that should be considered in the decision? (c)
Transcribed Image Text:Number 1 An analysis of the accounts of Williams Company reveals the following manufacturing cost data for the month ended September 30, 2017 tad Beginning $12,000 7,500 10,000 Ending $11,300 5,000 12,000 ing May Inventories Raw materials Work in process Finished goods Costs incurred: raw materials purchases $62,500, direct labor $51,000, manufacturing overhead $25,650. The specific overhead costs were: indirect labor $6,500, factory insurance $5,000, machinery depreciation $6,000, machinery repairs $2,800, factory utilities $3,600, miscellaneous factory costs $1,750. Assume that all raw materials used were direct materials. Instructions (a) Prepare the cost of goods manufactured schedule for the month ended 9/30/17. cach (b) (b) (c) Show the presentation of the ending inventories on 9/30/17, Balance Sheet. dicate Williams Company is considering the purchase of a new automated assembly line for its factory. The purchase would result in several changes in Williams' cost structure. Both direct labor and indirect labor would decrease by 40 %. Factory insurance would increase to $8,000, machinery depreciation would double, machinery repairs would decrease to $500, utilities would decrease to $2,500 and miscellaneou factory costs would increase to $1,850. Materials usage would remain at current levels. an (d Analy hours. 125 hou Analyze the new purchase by preparing a cost of goods manufactured schedule for September 30, 2017 using the new data. Should Williams Company make this purchase? Explain the factors that should be considered in the decision? (c)
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps with 3 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
SEE MORE TEXTBOOKS