Classic Sound is a start-up company that produces vinyl records for numerous record labels worldwide. The company has two full - time employees working in the production department while the CEO splits her time 80/20% between developing new business and overseeing the production process. Information taken from the accounting records for the first three months of operations is shown below. Beginning raw materials inventory $ 0 Purchases of raw materials 56, 500 Ending raw materials inventory 28, 250 Direct labour 45, 850 Manufacturing overhead 34, 550 Beginning work in process inventory 0 Ending work in process inventory 6,300 Purchase of production equipment 165,000 Rent for production facility 10, 950 Required: 1. Prepare a schedule of cost of goods manufactured for the company for the month.

Classic Sound is a start-up company that produces vinyl records for numerous record labels worldwide. The company has two full - time employees working in the production department while the CEO splits her time 80/20% between developing new business and overseeing the production process. Information taken from the accounting records for the first three months of operations is shown below. Beginning raw materials inventory $ 0 Purchases of raw materials 56, 500 Ending raw materials inventory 28, 250 Direct labour 45, 850 Manufacturing overhead 34, 550 Beginning work in process inventory 0 Ending work in process inventory 6,300 Purchase of production equipment 165,000 Rent for production facility 10, 950 Required: 1. Prepare a schedule of cost of goods manufactured for the company for the month.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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