E1-7 Statement of cost of goods manufactured; cost of goods sold The following data are taken from the general ledger and other records of Coral Park Production Co. on January 31, the end of the first month of operations in the current fiscal year: Sales.... $75,000 Materials inventory (January 1).. 25,000 Work in process inventory (January 1) 24,000 Finished goods inventory (January 1) 32,000 Materials purchased.. 21,000 Direct labor cost... 18,000 Factory overhead (including $1,000 of indirect materials used and $3,000 of indirect labor cost).. 12,000 Selling and administrative expenses .. 10,000 Inventories at January 31: Materials ... 22,000 Work in process. 20,000 Finished goods... 30,000 a. Prepare a statement of cost of goods manufactured. b. Prepare the cost of goods sold section of the income statement.
E1-7 Statement of cost of goods manufactured; cost of goods sold The following data are taken from the general ledger and other records of Coral Park Production Co. on January 31, the end of the first month of operations in the current fiscal year: Sales.... $75,000 Materials inventory (January 1).. 25,000 Work in process inventory (January 1) 24,000 Finished goods inventory (January 1) 32,000 Materials purchased.. 21,000 Direct labor cost... 18,000 Factory overhead (including $1,000 of indirect materials used and $3,000 of indirect labor cost).. 12,000 Selling and administrative expenses .. 10,000 Inventories at January 31: Materials ... 22,000 Work in process. 20,000 Finished goods... 30,000 a. Prepare a statement of cost of goods manufactured. b. Prepare the cost of goods sold section of the income statement.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![E1-7
Statement of cost of goods manufactured; cost of goods sold
The following data are taken from the general ledger and other
records of Coral Park Production Co. on January 31, the end of
the first month of operations in the current fiscal year:
Sales..
$75,000
Materials inventory (January 1).....
25,000
Work in process inventory (January 1).
24,000
Finished goods inventory (January 1)
32,000
Materials purchased.
21,000
Direct labor cost..
18,000
Factory overhead (including $1,000 of indirect materials used and $3,000
of indirect labor cost)
12,000
Selling and administrative expenses
10,000
Inventories at January 31:
Materials .
22,000
Work in process.
20,000
Finished goods.
30,000
a. Prepare a statement of cost of goods manufactured.
b. Prepare the cost of goods sold section of the income statement.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff85eb964-b75c-4049-b049-fa0302ffc430%2Fd12c483b-5124-4462-9428-61852bc4a9cf%2F7x54bc6_processed.png&w=3840&q=75)
Transcribed Image Text:E1-7
Statement of cost of goods manufactured; cost of goods sold
The following data are taken from the general ledger and other
records of Coral Park Production Co. on January 31, the end of
the first month of operations in the current fiscal year:
Sales..
$75,000
Materials inventory (January 1).....
25,000
Work in process inventory (January 1).
24,000
Finished goods inventory (January 1)
32,000
Materials purchased.
21,000
Direct labor cost..
18,000
Factory overhead (including $1,000 of indirect materials used and $3,000
of indirect labor cost)
12,000
Selling and administrative expenses
10,000
Inventories at January 31:
Materials .
22,000
Work in process.
20,000
Finished goods.
30,000
a. Prepare a statement of cost of goods manufactured.
b. Prepare the cost of goods sold section of the income statement.
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