Cost of Goods Manufactured and Income Statement with Predetermined Overhead and Labor Cost Classification Assume information pertaining to Bauer Hockey for April of the current year follows. Sales Purchases Raw materials Manufacturing supplies Office supplies Salaries (including fringe benefits) Administrative Production supervisors Sales Depreciation Plant and machinery Office and office equipment Utilities Plant Office Inventories Raw materials Manufacturing supplies Office supplies Work-in-process $670,950 Finished goods Additional information follows: 202,500 10,800 1,980 92,340 22,050 94,500 21,600 7,200 13,500 5,400 April 1 April 30 $45,315 $47,250 5,580 6,660 1,620 1,350 34,650 36,180 81,000 79,200 0 Manufacturing overhead is applied to products at 125% of direct labor dollars. •Employee base wages are $15 per hour. gol bserhavo ba Employee fringe benefits amount to 20% of the base wage rate. They are classified as manufacturing overhead. •During April, production employees worked 5,850 hours, including 4,680 regular hours and 360 overtime hours spent working on products_ There were 810 indirect labor hours. Employees are paid a 50% overtime premium. Any overtime premium is treated as manufacturing overhead. Required a. Prepare a statement of cost of goods manufactured and an income statement for April. Note: Do not use any negative signs with your statements.
Cost of Goods Manufactured and Income Statement with Predetermined Overhead and Labor Cost Classification Assume information pertaining to Bauer Hockey for April of the current year follows. Sales Purchases Raw materials Manufacturing supplies Office supplies Salaries (including fringe benefits) Administrative Production supervisors Sales Depreciation Plant and machinery Office and office equipment Utilities Plant Office Inventories Raw materials Manufacturing supplies Office supplies Work-in-process $670,950 Finished goods Additional information follows: 202,500 10,800 1,980 92,340 22,050 94,500 21,600 7,200 13,500 5,400 April 1 April 30 $45,315 $47,250 5,580 6,660 1,620 1,350 34,650 36,180 81,000 79,200 0 Manufacturing overhead is applied to products at 125% of direct labor dollars. •Employee base wages are $15 per hour. gol bserhavo ba Employee fringe benefits amount to 20% of the base wage rate. They are classified as manufacturing overhead. •During April, production employees worked 5,850 hours, including 4,680 regular hours and 360 overtime hours spent working on products_ There were 810 indirect labor hours. Employees are paid a 50% overtime premium. Any overtime premium is treated as manufacturing overhead. Required a. Prepare a statement of cost of goods manufactured and an income statement for April. Note: Do not use any negative signs with your statements.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Cost of Goods Manufactured and Income Statement with Predetermined Overhead and Labor Cost Classification
Assume information pertaining to Bauer Hockey for April of the current year follows.
Sales
Purchases
●
Raw materials
Manufacturing supplies
Office supplies
Salaries (including fringe benefits)
Administrative
Production supervisors
Sales
Depreciation
Plant and machinery
Office and office equipment
Utilities
Plant
Office
Inventories
$670,950
Finished goods
Additional information follows:
202,500
10,800
1,980
92,340
22,050
94,500
21,600
7,200
13,500
5,400
April 1 April 30
$45,315 $47,250
Raw materials
Manufacturing supplies 5,580 6,660
Office supplies
1,620 1,350
Work-in-process
34,650
36,180
81,000 79,200
000
panions
•Manufacturing overhead is applied to products at 125% of direct labor dollars.
Employee base wages are $15 per hour.
Employee fringe benefits amount to 20% of the base wage rate. They are classified as manufacturing overhead.
During April, production employees worked 5,850 hours, including 4,680 regular hours and 360 overtime hours spent working on products.
There were 810 indirect labor hours.
Employees are paid a 50% overtime premium. Any overtime premium is treated as manufacturing overhead.
Required
a. Prepare a statement of cost of goods manufactured and an income statement for April.
Note: Do not use any negative signs with your statements.
161
2 10
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