The following dists from the just completed year are taken from the accounting records of Mason Company: Direct labor cost $ 651,000 $ 38,000 $ 134,000 $ 104,000 Raterial purchases Adsinistrative expenses $225,000 Manufacturing overhead applied to work in process Actual manufacturing overhead costs Beginning Ending materials $ 10,00 $ 20,600 Finished goods 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

The following dists from the just completed year are taken from the accounting records of Mason Company: Direct labor cost $ 651,000 $ 38,000 $ 134,000 $ 104,000 Raterial purchases Adsinistrative expenses $225,000 Manufacturing overhead applied to work in process Actual manufacturing overhead costs Beginning Ending materials $ 10,00 $ 20,600 Finished goods 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

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter12: Financial Statements, Closing Entries, And Reversing Entries

Section: Chapter Questions

Problem 3E: Identify each of the following items relating to sections of an income statement as Revenue from...

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Selling Expenses and General and Administrative Expenses Operating expenses are subdivided between selling expenses and general and administrative expenses when a multiple-step income statement is prepared. Identify each of the following items as a selling expense (S) or general and administrative expense (G$A). ______ 1. Advertising expense ______ 2. Depreciation expenseâ€”store furniture and fixtures ______ 3. Office rent expense ______ 4. Office salaries expense ______ 5. Store rent expense ______ 6. Store salaries expense ______ 7. Insurance expense ______ 8. Supplies expense ______ 9. Utilities expense
T. Nix, Capital$ 128,300Cost of goods sold$ 108,900T. Nix, Withdrawals7,000Depreciation expense11,600Sales183,000Salaries expense39,000Sales discounts4,200Miscellaneous expenses5,000Sales returns and allowances5,200 1. Record the entry to close the income statement accounts with credit balances. 2. Record the entry to close the income statement accounts with debit balances. 3. Record the entry to close the Income Summary account. 4. Record the entry to close the Withdrawals account.
TRUE or FALSE 1. Companies are required to use two statement approach. 2. The single-step statement approach separates the presentation of profit and loss and other comprehensive income. 3. The cost of goods sold of the company represents the inventory sold to the customers for the period covered. 4. The gross income is computed by deducting all expenses from all the income of the company. 5. Freight out is an example of an administrative expense.
Question 2 Use the following question to answer a question that follows.Mr Lesang’s Statement of Comprehensive Income for the year ended 30 April 2020Pula PulaPulaSales 259,870Less Sales returns (5,624)Net Sales 254,246Less cost of goods soldOpening inventory 15,654Add purchases 135,680Add carriage inwards 11,830Less Returns Outwards (13,407)Net purchases 134,103Cost of goods available for sale 149,757Less closing inventory (17,750)Cost of goods sold 132,007Gross profit 122,239Add other income:Discount received. 1,750123,989Less expenses & losses:Allowance for doubtful debts 223Discounts allowed 2,306Carriage outwards 4,562Rent, rates and insurance 25,973Less prepaid rates (5,435)Less prepaid insurance (1,120) 19,418Heating and lighting 11,010Add accrued heating 1,360 12,370& lightingPostage, stationery and telephone 2,410Advertising 5,980Salaries & wages 38,521Bad debts 2,008Mr Lesang’s Statement of Financial position as at 30 April 2020Cost Accumulated depreciation Net…
choose the letter of the answer: 1. Inventory, end. ₱162,000; Net purchases, ₱216,000; Cost of goods sold, ₱144,000. How much is the Inventory, beg.?a. 90,000b. 120,000c. 144,000d. 80,000 2. At the beginning of the period, Entity A’s notes payable had a balance of ₱1,200. During the period, Entity A obtained an additional loan of ₱800 and made total payments of ₱500. How much is the ending balance of Entity A’s notes payable?a. 1,800b. 1,500c. 1,200d. 900
7. Which of the following is classified as general and administrative expenses? a. Salaries of admin personnel b. Salaries of sales agents c. Rent for sales office d. Depreciation of delivery van 8. What is the resulting figure if inventory is deducted from the cost of goods available for sale? a. Gross Profit b. Net Purchases c. Net Sales d. Cost of Goods Sold
Q-1: The following accounts are included in the ledger of David Company: Advertising expense Freight-in Inventory Purchases Purchase returns and allowances Sales Sales returns and allowances Which of the accounts would be included in calculating cost of goods sold?
5.2 Cost of Goods Sold and Income Statement Schuch Company presents you with the following account bal-ances taken from its December 31 adjusted trial balance: IInventory, January 1 $ 43,000Selling expenses 35,000Purchases 100,000 Sales 250,000General and administrative expenses 22,000Purchases returns $3,500 Interest expense 4,000 Sales discounts taken 2,000 Gain on sale of property (pretax) 7,000Freight-in 5,000Additional data: 1. A physical count reveals an ending-inventory of $22,500 on December 31.2. Twenty-five thousand shares of common stock have been outstanding the entire year.3.…
1. Compute the October 31, 2022 adjusted balances of Sales of Example Company 2. Compute the October 31, 2022 adjusted balances of Inventories of Example Company 3. If all the goods were shipped with terms FOB Shipping point, Compute the October 31, 2022 adjusted balances of Sales of Example Company
13) When recording the sale of a product, which account is increased?A) InventoryB) Accounts ReceivableC) Notes PayableD) None of the choices are correct Group of answer choices A B C D
3-A Merchandise business uses Multi Step income statement. The business receives OMR 8,200 interest income from Bank Muscat. The interest income will be treated as: a. Other expense b. Other revenue c. Cost of goods sold d. Selling and distribution expense
Activity 1: TRUE OR FALSE. Write True if the statement is correct and False if it is not. ____ 1. The SCI is a picture of the result of operations of the company as of the cut-off date.____ 2. The major elements of the SCI are income and expenses.____ 3. Cost of sales is computed as cost of goods available for sale less ending inventory.____ 4. Expenses recognition strictly requires the matching expenses against revenue.____ 5. Goods returned by customers are immediately deducted to the Sales Revenue account.____ 6. In periodic inventory accounting, inventory is determined by conducting a physical count of merchandise owned.____ 7. Expenses decrease assets and therefore have credit normal balances.____ 8. Depreciation expense is a line account found in an SCI prepared following the multi-step format. ____ 9. Revenue result in increase in equity and therefore has a credit normal balance____ 10.All accounts in SCI is also called nominal accounts. Activity 2: Problem 1: The Happy…