Calculating cost of goods sold for merchandising and manufacturing companiesCalculating cost of goods sold for merchandising and manufacturing companiescompany 1company 2Beginning balances:Merchandise Inventory$ 8,000Finished Goods Inventory$ 12,250Ending balances:Merchandise Inventory13,000Finished Goods Inventory15,000Net Purchases165,000Cost of Goods Manufactured172,250Requirements1. Define the three business types: service, merchandising, and manufacturing.2. Based on the data given for the two companies, determine the business type of each one.3. Calculate the cost of goods sold of each company.

Cost of goods sold is the cost of the goods which are sold in the market. This is used to calculate…

Calculating cost of goods sold for merchandising and manufacturing companies Calculating cost of goods sold for merchandising and manufacturing companies company 1 company 2 Beginning balances: Merchandise Inventory $ 8,000 Finished Goods Inventory $ 12,250 Ending balances:

Calculating cost of goods sold for merchandising and manufacturing companies Calculating cost of goods sold for merchandising and manufacturing companies company 1 company 2 Beginning balances: Merchandise Inventory $ 8,000 Finished Goods Inventory $ 12,250 Ending balances:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Raw materials inventory Work in process inventory-Cutting Work in process inventory-Stitching…

A: Detailed explanation:Overhead is applied using predetermined rate : For cutting department, overhead…

Q: 2-7 FIFO costing Using first-in, first-out perpetual inventory costing and the follow- ing…

A: This question deals with the calculation of inventory under FIFO basis. First in first out(FIFO)…

Q: Finished goods inventory, June 1 Cost of goods manufactured Cost of finished goods available for…

A: Formula: Cost of finished goods available for sale = Beginning finished goods + Cost of goods…

Q: A manufacturer’s Raw Materials Inventory account appears as follows: Raw Materials Inventory…

A: The journal entries are prepared to keep the record of day to day transactions of the business. The…

Q: Sales Revenue Cost of Goods Manufactured Beginning Finished Goods Inventory Ending Finished Goods…

A: To calculate the gross profit, we first need to calculate the cost of goods sold (COGS), then…

Q: QS 14-11 (Algo) Preparing an income statement LO P1 Prepare an income statement for Rex…

A: REX MANUFACTURING Income Statement For Year Ended December 31 Sales $ 93,600 Cost of…

Q: Finished goods inventory, ending General and administrative expenses Accounts receivable Finished…

A: Income statement refers to the statement which is one of the financial statements of the company and…

Q: Cost Retail Beginning inventory Purchases Freight in Purchase return Purchase allowance 340,000…

A: Working:

Q: Account Dollar amount Beginning Materials Inventory $74,323 Purchases ? Materials available for…

A: There are the journal entries : Raw material purchase A/c Dr.…

Q: Assume the following: Purchases of raw materials Beginning raw materials inventory Ending raw…

A: Direct materials are the materials or resources used in the production of a product that are…

Q: Finished goods inventory, June 1 Cost of goods manufactured Cost of finished goods available for…

A: Formula: Cost of finished goods available for sale = Beginning Finished goods + Cost of goods…

Q: Beginning inventory Merchandise Finished goods Cost of merchandise purchased Cost of goods…

A: Cost of Goods Sold (COGS) represents the direct costs associated with the production of goods or…

Q: 2. Use the information below to determine the sales revenue, cost of goods sold and gross profit…

A: A financial statistic known as gross profit is the difference between an organization's total…

Q: None

A: Raw material means the material purchased and still not enter in to the production lines.Work in…

Q: Required information [The following information applies to the questions displayed below.] Altira…

A: Beginning inventory=Units×Cost per unit=3500×$7.60=$26,600

Q: Beginning inventory, purchases, and sales data for tennis rackets are as follows: April Inventory 12…

A: LIFO: LIFO stands for Last in First out which means Last received inventory to be sold first.

Q: Question 9 Bailey Corp has the following information: Raw Materials Inventory Work in Process…

A: Total manufacturing cost is the total cost incurred in the manufacturing of product during the…

Q: Beginning inventory Merchandise $ 321,000 Finished goods $ 642,000 Cost of merchandise…

A: SCHEDULE OF COST OF GOODS MANUFACTURED Schedule Of Cost Of Goods Manufactured are those Cost Which…

Q: If the net sales 159 150 ID , beginning -1 finished goods inventory 16 500 ID „Cost of goods…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: E2-8 LIFO costing Using last-in, first-out perpetual inventory costing and the information presented…

A: Last in first out (LIFO) method of inventory says that inventory which is purchased in last will be…

Q: E2-7 FIFO COSTING Using first-in, first-out perpetual inventory costing and the following…

A: FIFO Method DATE PURCHASE SALE BALANCE QTY PRICE COST QTY PRICE COST QTY PRICE COST…

Q: Income Statement for a Manufacturing Company Two items are omitted from each of the following three…

A: Cost of goods manufactured is the manufacturing costs incurred when the goods finished during a…

Q: If Sales revenue is SR 26,000, beginning finished goods inventory is SR 8,000, ending finished goods…

A: Cost of goods sold: All the expenses that are incurred in making a product are called Cost of Goods…

Q: A manufacturing company has a beginning finished goods inventory balance of $14,600, cost of goods…

A: Cost of Goods Sold=Beginning Finished Goods Inventory+Cost of Goods Manufactured-Ending Finished…

Q: Date Units Units Cost Inventory 8/1 5,000 P 2.00 Purchases: 8/7 6,000 P 8,000 P 9,000 P 10,000 P…

A: Total units available for sale = 5000+6000+8000+9000+10000+10000 = 48000 units Total no. of units…

Q: Related data of Ruffa Company:…

A: Cost of goods sold means the cost incurred on the goods which has been sold out. First in first out…

Q: Sales Revenue Finished Goods Inventory, Beginning Finished Goods Inventory, Ending Cost of Goods…

A: INCOME STATEMENTIncome Statement is one of the Important Financial Statement of the Company. Income…

Q: For each of the following unrelated companies, compute the cost of goods manufactured and the cost…

A: The cost of goods sold is the cost of producing those goods which have been sold during an…

Q: Beginning inventory Merchandise Finished goods Cost of merchandise purchased Cost of goods…

A: SCHEDULE OF COST OF GOODS MANUFACTUREDSchedule Of Cost Of Goods Manufactured are those costs which…

Q: Part 3: Kirsh, Inc. Below is information re: Kirsh, Inc.'s inventory accounts. Please complete the…

A: Sales 1500 Less: gross profit (10%) (150) Cost of units sold during the year (Q 19)…

Q: Given the following: Number purchased Cost per unit Total January 1 inventory 30 $ 5 $…

A: LIFO: LIFO stands for Last-In, First-Out. In this method inventory purchased at last will be sold…

Q: Jse the following inventory data for Hooking Golf Company to compute the cost of goods manufactured…

A: Cost of goods manufactured is the total cost of finished goods produced during a certain period. It…

Q: Cost of Goods Manufactured and Cost of Goods Sold For each of the following unrelated companies,…

A: The cost of goods manufactured refers to the total cost that a company incurs for manufacturing the…

Q: Bare Unimart Manufacturing Beginning inventory Merchandise Finished goods Cost of merchandise…

A: Cost of goods sold for trader = Beginning merchandise inventory + Cost of goods purchased - Ending…

Q: Calculate this Question

A: Here's how to calculate the cost of goods manufactured:Formula:Cost of Goods Manufactured = Cost of…

Q: Calculating cost of goods sold for merchandising and manufacturing companies Below are data tor two…

A: Service business: The business activities which do not manufacture or trade any kind of product and…

Q: to caiculate the cost of goods E (Click the icon to view the information.) Data Table Cost of Goods…

A: The cost of goods sold includes the cost of goods that are sold during the period.

Q: None

A: Detailed calculation and explanation:A.Cost of goods manufactured refers to the cost of direct…

Q: Materials Inventory Debit Ending Balance 38,200 Credit Work-in-Process Inventory Debit Beginning…

A: Ending Balance Calculation: Ending Balance = Beg. Bal. + Purchases - CGSEnding Balance = 22,100 +…

Q: Complete the missing figures: Q15 Purchases of raw materials during that year Q16 Raw materials…

A: Idle stock of physical goods that contain economic value and are held in various forms of an…

Q: Raw materials Beginning inventory $344 Purchases 1,533 Materials available for use Ending inventory…

A: This problem can be solved by using the following formulas: 1. Material used in production(raw…

Q: Cash Accounts receivable Raw materiala inventory Work in process inventory Finished goods inventory…

A: Income statement:An income statement is a statement showing a organization's incomes, expenses,…

Question

Calculating cost of goods sold for merchandising and manufacturing companies
Calculating cost of goods sold for merchandising and manufacturing companies
company 1
company 2
Beginning balances:
Merchandise Inventory
$ 8,000
Finished Goods Inventory
$ 12,250
Ending balances:
Merchandise Inventory
13,000
Finished Goods Inventory
15,000
Net Purchases
165,000
Cost of Goods Manufactured
172,250
Requirements
1. Define the three business types: service, merchandising, and manufacturing.
2. Based on the data given for the two companies, determine the business type of each one.
3. Calculate the cost of goods sold of each company.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Financial Reporting in Hyperinflationary Economies

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

1 .Cost of goods sold 2. Gross Profit
OFF COMPANY STEP BY STEP PLEASE
Beginning inventory Merchandise Finished goods Cost of merchandise purchased Cost of goods manufactured Ending inventory Unimart $ 278,000 500,000 Merch Business Merchandise Finished goods Compute cost of goods sold for each of these two companies. 178,000 Bare Manufacturing Cost of goods sold $ 556,000 850,000 Complete this question by entering your answers in the tabs below. 172,000 Mfg Business Compute cost of goods sold for the company in Merchandising Business. UNIMART Computation of Cost of Goods Sold
eBook Show Me How Calculator E Print Item Cost of Goods Sold, Cost of Goods Manufactured Timbuk 3 Company has the following information for March: Cost of direct materials used in production $65,000 Direct labor 75,000 Factory overhead 27,000 Work in process inventory, March 1 54,000 Work in process inventory, March 31 41,990 Finished goods inventory, March 1 24,000 Finished goods inventory, March 31 16,000 a. For March, determine the cost of goods manufactured. く Using the data given, prepare a statement of Cost of Goods Manufactured. Timbuk 3 Company Statement of Cost of Goods Manufactured KSHEET.A... 24 $4 Total manufacturing costs incurred during March Total manufacturing costs NKSHEET.A... LANKSHEET Cost of goods manufactured CEL.ALGO Check My Work 5 more Check My Work uses remaining. D items : 30% All work saved. MacBook Pro 20 F1 F2 F3 F4 F5 F6 F7 F8 %23 LC
5
Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Selling price per unit Variable expenses per unit Traceable fixed expenses per year $ $ $ 128,000 Greengrow $ 2$ 8.00 39.00 2.90 13.00 $ 37,000 Common fixed expenses in the company total $105,000 annually. Last year the company produced and sold 38,500 units of Weedban and 24,000 units of Greengrow. Required: Prepare a contribution format income statement segmented by product lines. Product Line Total Weedban Greengrow Company 0 $
prepare a costs of good schedule
Vishnu
Make an income statement
The following is the year ended data for Tiger Company: Sales Revenue Cost of Goods Manufactured Beginning Finished Goods Inventory Ending Finished Goods Inventory Selling Expenses Administrative Expenses What is the cost of goods available for sale? O A. $5,700 OB. $29,300 OC. $26,700 O D. $24,300 $51,000 28,000 1,300 2,600 15,100 3,500
Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Notes payable Common stock Retained earnings (prior year) Sales Cost of goods sold Factory overhead General and administrative expenses Totals Debit $ 68,000 37,000 23,500 0 9,000 3,000 Credit These six documents must be processed to bring the accounting records up to date. Materials requisition 10: Materials requisition 11: Materials requisition 12: Labor time ticket 52: Labor time ticket 53: Labor time ticket 54: BERGO BAY COMPANY List of Account Balances December 31 $ 10,800 13,800 30,000 93,000 175,900 113,000 25,000 45,000 $ 323,500 $ 323,500 $ 4,700 direct materials to Job 402 $ 7,300 direct materials to Job 404 Debit $ 1,500 indirect materials $ 6,000 direct labor to Job 402 $ 14,000 direct labor to Job 404 $5,000 indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 150% of direct labor cost. 3.…