Problem 3-13 (Algo) Schedules of Cost of Goods Manufactured and Cost of Goods Sold; IncomeStatement [LO3-3]Superior Company provided the following data for the year ended December 31 (all raw materials are used in production as directmaterials)Selling expensesPurchases of raw materialsDirect laborAdministrative expensesManufacturing overhead applied to work in processActual manufacturing overhead costInventory balances at the beginning and end of the year were as follows:Raw materialsWork in processFinished goodsBeginning$ 50,000?$ 31,000Ending$ 32,000$ 26,000?$216,000$ 266,0002$ 158,000$ 373,000$360,000The total manufacturing costs added to production for the year were $690.000; the cost of goods available for sale totaled $730,000;the unadjusted cost of goods sold totaled $663,000, and the net operating income was $31,000. The company's underapplied oroverapplied overhead is closed to Cost of Goods Sold.Required:Prepare schedules of cost of goods manufactured and cost of goods sold and an income statement. (Hint: Prepare the incomestatement and schedule of cost of goods sold first followed by the schedule of cost of goods manufactured.)

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Description: Problem 3-13 (Algo) Schedules of Cost of Goods Manufactured and Cost of Goods Sold; IncomeStatement [LO3-3]Superior Company provided the following data for the year ended December 31 (all raw materials are used in production as directmaterials)Selli

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Problem 3-13 (Algo) Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO3-3] Superior Company provided the following data for the year ended December 31 (all raw materials are used in production as direct materials): Selling expenses Purchases of raw materials Direct labor Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead cost Inventory balances at the beginning and end of the year were as follows: Raw materials Work in process Finished goods Beginning $ 50,000 ? $ 31,000 Ending $ 32,000 $ 26,000 ? $ 216,000 $266,000 ? $ 158,000 $ 373,000 $360,000 The total manufacturing costs added to production for the year were $690.000; the cost of goods available for sale totaled $730,000; the unadjusted cost of goods sold totaled $663,000; and the net operating income was $31,000. The company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare schedules of cost of goods manufactured and cost of goods sold and an income statement. (Hint: Prepare the income statement and schedule of cost of goods sold first followed by the schedule of cost of goods manufactured.)

Problem 3-13 (Algo) Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement [LO3-3] Superior Company provided the following data for the year ended December 31 (all raw materials are used in production as direct materials): Selling expenses Purchases of raw materials Direct labor Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead cost Inventory balances at the beginning and end of the year were as follows: Raw materials Work in process Finished goods Beginning $ 50,000 ? $ 31,000 Ending $ 32,000 $ 26,000 ? $ 216,000 $266,000 ? $ 158,000 $ 373,000 $360,000 The total manufacturing costs added to production for the year were $690.000; the cost of goods available for sale totaled $730,000; the unadjusted cost of goods sold totaled $663,000; and the net operating income was $31,000. The company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare schedules of cost of goods manufactured and cost of goods sold and an income statement. (Hint: Prepare the income statement and schedule of cost of goods sold first followed by the schedule of cost of goods manufactured.)

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 13PB: Selected information from Hernandez Corporation shows the following: Prepare journal entries to...

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