What is the cost of goods manufactured for the year? 1247,000 2252,000 3506,000 4500,000 The following T-accounts have been constructed from this year's records at Cardinal Health Pharmaceutical Company:Raw MaterialsBal 10,000(a) 247,000(b) 252,0005000Work In Process(f) 506,000Bal 6,000(b) 161,000(c) 154,000(e) 192,5007500Finished GoodsBal 0(g) 500,000(f) 506,0006000Manufacturing Overhead(e) 192,500(b) 91,000(c) 26,000|(d) 78,000195,000192,5002500(h)2500Cost of Goods Sold(g) 500,000(h) 2,500

The cost of goods manufactured is calculated by adding the opening inventory, purchases, and the…

The following T-accounts have been constructed from this year's records at Cardinal Health Pharmaceutical Company: Raw Materials (b) 252,000 Bal 10,000 |(a) 247,000 5000 Work In Process (f) 506,000 Bal 6,000 (b) 161,000 |(c) 154,000 (e) 192,500 7500 Finished Goods (g) 500,000 Bal 0 |(f) 506,000 6000 Manufacturing Overhead (e) 192,500 (b) 91,000 (c) 26,000 (d) 78,000 195,000 192,500 2500 (h)2500 Cost of Goods Sold (g) 500,000 (h) 2,500

The following T-accounts have been constructed from this year's records at Cardinal Health Pharmaceutical Company: Raw Materials (b) 252,000 Bal 10,000 |(a) 247,000 5000 Work In Process (f) 506,000 Bal 6,000 (b) 161,000 |(c) 154,000 (e) 192,500 7500 Finished Goods (g) 500,000 Bal 0 |(f) 506,000 6000 Manufacturing Overhead (e) 192,500 (b) 91,000 (c) 26,000 (d) 78,000 195,000 192,500 2500 (h)2500 Cost of Goods Sold (g) 500,000 (h) 2,500

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 6PA: During the year, a company purchased raw materials of $77,321, and incurred direct labor costs of...

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An examination of Buckhorn Fabricators records reveals the following transactions: a. On December 31, the physical inventory of raw material was 9,950 gallons. The book quantity, using the weighted average method, was 10,000 gal @ .52 per gal. b. Production returned to the storeroom materials that cost 775. c. Materials valued at 770 were charged to Factory Overhead (Repairs and Maintenance), but should have been charged to Work in Process. d. Defective material, purchased on account, was returned to the vendor. The material returned cost 234. e. Goods sold to a customer, on account, for 5,000 (cost 2,500) were returned because of a misunderstanding of the quantity ordered. The customer stated that the goods returned were in excess of the quantity needed. f. Materials requisitioned totaled 22,300, of which 2,100 represented supplies used. g. Materials purchased on account totaled 25,500. Freight on the materials purchased was 185. h. Direct materials returned to the storeroom amounted to 950. i. Scrap materials sent to the storeroom were valued at an estimated selling price of 685 and treated as a reduction in the cost of all jobs worked on during the period. j. Spoiled work sent to the storeroom valued at a sales price of 60 had production costs of 200 already charged to it. The cost of the spoilage is to be charged to the specific job worked on during the period. k. The scrap materials in (i) were sold for 685 cash. Required: Record the entries for each transaction.
During the year, a company purchased raw materials of $77,321, and incurred direct labor costs of $125,900. Overhead is applied at the rate of 75% of the direct labor cost. These are the inventory balances: Compute the cost of materials used in production, the cost of goods manufactured, and the cost of goods sold.
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Refer to Exercise 2.21. Last calendar year, Ellerson recognized revenue of 1,312,000 and had selling and administrative expenses of 204,600. Required: 1. What is the cost of goods sold for last year? 2. Prepare an income statement for Ellerson for last year.
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Kenkel, Ltd. uses backflush costing to account for its manufacturing costs. The trigger points are the purchase of materials, the completion of goods, and the sale of goods. Prepare journal entries to account for the following: a. Purchased raw materials, on account, 80,000. b. Requisitioned raw materials to production, 80,000. c. Distributed direct labor costs, 10,000. d. Factory overhead costs incurred, 60,000. (Use Various Credits for the account in the credit part of the entry.) e. Completed all of the production started. f. Sold the completed production for 225,000, on account.
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