Managerial Accounting
6th Edition
ISBN: 9781259726972
Author: John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher: McGraw-Hill Education
expand_more
expand_more
format_list_bulleted
Question
Chapter C, Problem 2E
To determine
Concept introduction:
Lean Accounting:
Lean accounting refers to the modern time accounting system which helps in maintaining accounting data in a comparative manner. In other words we can say that lean accounting system focus on the maximization of recording efficiency through gathering useful & comparative accounting information. This accounting system is updated version of traditional accounting.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Use lean accounting to prepare journal entries for the following transactions. 1. Applied $43,600 of conversion costs to production. 2. Incurred actual conversion costs of $43,600. Hint: Credit “Various Accounts.”
The journal entry to record the purchase of $24,110 of raw materials is
a.
Materials$24,110
Accounts Receivable$24,110
b.
Materials$24,110
Accounts Payable$24,110
c.
Inventory$24,110
Accounts Receivable$24,110
d.
Inventory$24,110
Cash$24,110
Use lean accounting to prepare journal entries for the following transactions. 1. Purchased $22,500 of raw materials on credit. 2. Applied conversion costs of $67,500. 3. Incurred actual conversion costs of $67,500. Hint: Credit “Various Accounts.” 4. Sold $120,000 of goods on credit. 5. Recorded cost of goods sold of $90,000.
Chapter C Solutions
Managerial Accounting
Ch. C - Prob. 1DQCh. C - How does push production differ from pull...Ch. C - Prob. 3DQCh. C - Prob. 4DQCh. C - Prob. 5DQCh. C - Prob. 6DQCh. C - Prob. 7DQCh. C - Prob. 8DQCh. C - Prob. 9DQCh. C - Prob. 10DQ
Ch. C - Prob. 11DQCh. C - Prob. 12DQCh. C - Can management of a company like Samsung use cycle...Ch. C - Identify each of the following as applying more to...Ch. C - Identify each of the following as applying more to...Ch. C - Prob. 3QSCh. C - Use lean accounting to prepare journal entries for...Ch. C - Prob. 5QSCh. C - Prob. 6QSCh. C - Prob. 7QSCh. C - Prob. 8QSCh. C - Prob. 9QSCh. C - Prob. 10QSCh. C - Prob. 11QSCh. C - A company reports ending accounts payable of...Ch. C - Prob. 13QSCh. C - Identify each of the following production...Ch. C - Prob. 2ECh. C - Prob. 3ECh. C - Prob. 4ECh. C - Prob. 5ECh. C - Prob. 6ECh. C - Prob. 7ECh. C - A manufacturer makes T-shirts in several...Ch. C - Prob. 9ECh. C - Prob. 10ECh. C - Use the information below for Tesla to answer the...Ch. C - Prob. 12ECh. C - Prob. 13ECh. C - Prob. 14ECh. C - Robo-Lawn is a lean manufacturer of robotic lawn...Ch. C - Prob. 2PCh. C - Prob. 3P
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Exercise 6-43 (Algorithmic)Applying the Cost of Goods Sold Model The following amounts were obtained from the accounting records of Steed Company: Required: Compute the missing amounts. 2017 2018 2019 Beginning inventory $10,600 $fill in the blank 1 $fill in the blank 2 Net purchases fill in the blank 3 74,300 58,100 Ending inventory 11,200 fill in the blank 4 13,750 Cost of goods sold 44,500 49,800 fill in the blank 5arrow_forwardSales Revenue Cost of Goods Manufactured Beginning Finished Goods Inventory Ending Finished Goods Inventory Selling Expenses Administrative Expenses What is the gross profit? O A. $14,300 OB. $32,800 OC. $23,800 OD. $20,200 $53,000 22,000 1,800 3,600 15,000 3,500arrow_forwardQuestion 6 Not ye answered Marked out of 1.00 question Accounts payable are recorded on the books at their Select one: O a. net amount O b. net present value O c. face value d. net realizable value Clear my choice Question 7 Not yet answered Marked out of 1.00 F Flag question In a manufacturing process overhead costs are added to which inventory account? Select one: O a. Raw Materials O b. Finished Goods Oc. Work-in-Process O d. Cost of Goods Sold Question 8 Not yet answered Marked out of 1.00 F Fag question If a bond is issued at a discount, the coupon rate is Select one: O a. equal to the effective rate. O b. not needed to determine the bond's sale price. Oc. less than the effective rate. Od. greater than the effective rate.arrow_forward
- On ff Company Company Materials inventory, December 1 $81,110 $109,500 Materials inventory, December 31 (a) 123,730 Materials purchased 206,020 (a) Cost of direct materials used in production 217,370 (b) Direct labor 305,780 246,380 Factory overhead 94,900 122,640 Total manufacturing costs incurred in December (b) 708,470 Total manufacturing costs 773,780 773,780 Work in process inventory, December 1 155,730 263,900 Work in process inventory, December 31 131,400 (c) Cost of goods manufactured (c) 701,900 Finished goods inventory, December 1 137,080 122,640 Finished goods inventory, December 31 143,560 (d) Sales 1,195,560 1,095,000 Cost of goods sold (d) 708,470 Gross profit (e) (e) Operating expenses 155,730 (f) Net income (f) 243,090arrow_forwardс. Prepare the T-accounts and post transactions. cost of P500,000. Required: Compute the cost charged to cost of goods sold. b. Calculate the ending balance of cost of goods sold. a. 10/10 ...arrow_forwardActivities/Assessments: Exercise 6-1: Supply the answers to the items marked "?" and support your answer with computation: CASE C CASE B P532, 000 CASE A Sales 4, 000 2,000 496, 000 Sales Returns ? 1, 500 525, 000 5, 000 2, 200 326, 000 Sales Discounts Net Sales Cost of Sales: Merchandise Inventory, Beg. 75, 000 70, 000 320, 000 ? 95, 600 196, 000 2, 100 1, 500 2, 800 Purchases Freight- in Purchase Returns & Allowances Purchase Discount Merchandise Inventory, End Cost of Sales Gross Profit 2, 000 6, 000 7, 500 80, 000 4, 500 2, 100 46, 000 ? 458, 500 ? 226, 000 ? 186, 000 126, 000 Administrative & Selling Expenses Net Income (loss) Gross Profit Rate 21, 500 60, 000 16, 000 ? ? ?arrow_forward
- Assignment 3- COGM i C aw Margaret Rosenthal, accountant for Russell Manufacturing Company, prepared the following income statement for the quarter ending December 31, 2019. Sales Purchases of materials (1) Payroll (2) Advertising Administrative travel. Manufacturing utilities Facility rental (3) Depreciation (4) Sales commissions Annual insurance (manufacturing) Office utilities Management salaries (5) Net income Notes: (1) 80% of the materials were direct (2) 70% direct labour; 30% indirect labour (3) 80% related to manufacturing (4) 75% related to manufacturing (5) 30% related to manufacturing 4 Furthermore, Rosenthal compiled the following information with respect to inventories for the quarter (note that the company does not maintain inventories of indirect materials). Direct materials Work in process Finished goods Direct materials: Required: 1. This part of the question is not part of your Connect assignment. 2. Prepare a cost of goods manufactured statement for the quarter.…arrow_forwardAssume an outlet of The Runner's Store has the following data: Date Item Quantity Unit Costs Sale Price Aug 1 Beginning balance 40 $40 3 Sale 16 $70 8 Purchase 80 41 11 Sale 34 70 19 Sale 72 24 Sale 30 72 30 Purchase 18 42 Requirements: a) Calculate the Cost of Goods Sold and Ending Inventory using FIF0 method. b) Calculate the Cost of Goods Sold and Ending Inventory using Weighted Average method. c) Calculate the gross profit under FIFO and Weighted Average method. d) Prepare the journal entries for August 3 and August 8 based on FIFO method. a) FIFO Cost of Goods Sold Opening and Purchases Balance Date Unit Unit Amount Unit Unit Amount Unit Unit Amount Cost Cost Cost Totalarrow_forwardPROBLEM 11: The following information has been extracted from the records of CCCCompanyabout one of its products: Number Unit Date Transaction of Units Cost 1/1 Beginning balance 1,600 P 14.00 1/6 Purchased 600 14.10 2/5 Sold at P24.00 per unit 2,000 3/19 Purchased 2,200 14.70 3/24 Purchase returns 160 14.70 4/10 Sold at P24.20 per unit 1,400 6/22 Purchased 16,800 15.00 7/31 Sold at P26.50 per unit 3,600 8/4 Sales returns at P26.50 per unit 40 9/4 Sold at P27 per unit 7,000 11/15 Purchased 1,000 16.00 12/28 Sold at P30 per unit 6,200 Compute for the closing inventory and cost of sales under the FIFO periodic methodandthe FIFO perpetual method. Compute for the closing inventory and cost of sales under the weighted averageperiodic method and the moving average method. Compute for the closing inventory and cost of sales under the LIFO periodic methodandthe LIFO perpetual method.arrow_forward
- Question 1: Calculate the cost of material available for use, cost of material issued and cost of material ending under FIFO and LIFO methods (periodic system). Also give the journal entries under each of the method. Date Details Units Cost per unit Rs. Total Cost Rs Jan 01 Beg Inventory 20 10 200 Jan 05 Purchases 50 11 550 Jan 06 Issued 30 Jan 09 Purchases 40 12 480 Jan 15 Purchases 20 13 260 Jan 20 Issued 60 Jan 28 Purchases 10 15 150arrow_forwardAt the various activity levels shown, Harper Company incurred the following costs: 4 Units sold 20 40 60 80 100 a. Rental cost per unit of merchandise sold b. Total phone expense c. Cost per unit of supplies d. Total insurance cost e. Total salary cost f. Total cost of goods sold g. Depreciation cost per unit h. Total rent cost i. Total cost of shopping bags j. Cost per unit of merchandise sold 36.00 $ 18.00 2$ 120.00 12.00 2$ 9.00 2$ 7.20 80.00 100.00 140.00 160.00 1.00 1.00 1.00 1.00 1.00 480.00 480.00 480.00 480.00 480.00 1,200.00 1,600.00 2,000.00 2,400.00 7, 200.00 2,800.00 9,000.00 1,800.00 3,600.00 5,400.00 240.00 120.00 80.00 60.00 48.00 3,200.00 6.00 90.00 3,200.00 3,200.00 2.00 3,200.00 4.00 3,200.00 10.00 8.00 90.00 90.00 90.00 90.00 Required Identify each of these costs as fixed, variable, or mixed. a. b. С. d. e. f. g.arrow_forwardUsing the information below, calculate the cost of goods manufactured for the period: Beginning Raw Materials Inventory Ending Raw Materials Inventory Beginning Work in Process Inventory Ending Work in Process Inventory Beginning Finished Goods Inventory Ending Finished Goods Inventory Cost of Goods Sold Sales Revenues Selling Expenses Multiple Choice $578,500. $544,500. $566,000. < Jmre.v. Q Search $ 42,000 33,600 72,000 81,000 105,500 84,000 557,000 1,271,000 249,000 8 of 39 www wwwarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
IAS 29 Financial Reporting in Hyperinflationary Economies: Summary 2021; Author: Silvia of CPDbox;https://www.youtube.com/watch?v=55luVuTYLY8;License: Standard Youtube License