Assessment #1 _Cost Classification Inventory valuation Question 1 Part 1 Gopaul Electronics designs and manufactures specialized switches for the telecommunications industry. The accounting records of the business reflect the following data at December 31, 2023: Inventory 1/1/2023 Raw Materials $260,000 Work In Progress $333,800 Finished Goods $1,075,200 Other information: 31/12/2023 $230,000 $218,800 $615,000 Sales Revenue Factory supplies Direct Factory Labor Special Design Cost Raw Materials Purchased Plant janitorial service Depreciation: Plant & Equipment Plant Utilities Plant supervisor's salary Property Taxes R & D for Graphic Designs Office Utilities Insurance on Plant & Equipment Delivery truck driver's wages Depreciation: Delivery truck Administrative Wages & Salaries Sales Commission $5,765,000 45,000 735,000 15,000 540,000 52,000 165,000 385,000 480,000 300,000 70,500 165,000 120,000 125,000 52,000 850,150 97,650 The property taxes should be shared: 60% manufacturing & 40% general & administrative costs. d) Calculate the cost of goods manufactured for the year by Gopaul Electronics e) Prepare an income statement for Gopaul Electronics for the year ended December 31, 2023, clearly showing the calculation of Cost of Goods Sold. List the non-production overheads in order of size starting with the largest. f) What is the selling price per switch if Gopaul Electronics manufactured 1,500 switches for the period under review and uses a mark-up of 33%% on cost?
Assessment #1 _Cost Classification Inventory valuation Question 1 Part 1 Gopaul Electronics designs and manufactures specialized switches for the telecommunications industry. The accounting records of the business reflect the following data at December 31, 2023: Inventory 1/1/2023 Raw Materials $260,000 Work In Progress $333,800 Finished Goods $1,075,200 Other information: 31/12/2023 $230,000 $218,800 $615,000 Sales Revenue Factory supplies Direct Factory Labor Special Design Cost Raw Materials Purchased Plant janitorial service Depreciation: Plant & Equipment Plant Utilities Plant supervisor's salary Property Taxes R & D for Graphic Designs Office Utilities Insurance on Plant & Equipment Delivery truck driver's wages Depreciation: Delivery truck Administrative Wages & Salaries Sales Commission $5,765,000 45,000 735,000 15,000 540,000 52,000 165,000 385,000 480,000 300,000 70,500 165,000 120,000 125,000 52,000 850,150 97,650 The property taxes should be shared: 60% manufacturing & 40% general & administrative costs. d) Calculate the cost of goods manufactured for the year by Gopaul Electronics e) Prepare an income statement for Gopaul Electronics for the year ended December 31, 2023, clearly showing the calculation of Cost of Goods Sold. List the non-production overheads in order of size starting with the largest. f) What is the selling price per switch if Gopaul Electronics manufactured 1,500 switches for the period under review and uses a mark-up of 33%% on cost?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Assessment #1 _Cost Classification Inventory valuation
Question 1
Part 1
Gopaul Electronics designs and manufactures specialized switches for the telecommunications industry. The
accounting records of the business reflect the following data at December 31, 2023:
Inventory
1/1/2023
Raw Materials
$260,000
Work In Progress $333,800
Finished Goods $1,075,200
Other information:
31/12/2023
$230,000
$218,800
$615,000
Sales Revenue
Factory supplies
Direct Factory Labor
Special Design Cost
Raw Materials Purchased
Plant janitorial service
Depreciation: Plant & Equipment
Plant Utilities
Plant supervisor's salary
Property Taxes
R & D for Graphic Designs
Office Utilities
Insurance on Plant & Equipment
Delivery truck driver's wages
Depreciation: Delivery truck
Administrative Wages & Salaries
Sales Commission
$5,765,000
45,000
735,000
15,000
540,000
52,000
165,000
385,000
480,000
300,000
70,500
165,000
120,000
125,000
52,000
850,150
97,650
The property taxes should be shared: 60% manufacturing & 40% general & administrative costs.
d) Calculate the cost of goods manufactured for the year by Gopaul Electronics
e) Prepare an income statement for Gopaul Electronics for the year ended December 31, 2023, clearly showing
the calculation of Cost of Goods Sold. List the non-production overheads in order of size starting with the
largest.
f) What is the selling price per switch if Gopaul Electronics manufactured 1,500 switches for the period under
review and uses a mark-up of 33%% on cost?
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