finding the cost of goods sold for quarter 1 of 2022
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
I am needing assistance finding the cost of goods sold for quarter 1 of 2022

Transcribed Image Text:Blue Fish Corporation is preparing its budget for the coming year, 2022. The first step is to plan for the first
quarter of that coming year. The company has gathered information from its managers in preparation of the
budgeting process.
Blue Fish Corporation
Blue Fish Corporation
Income Statement
Balance Sheet
For the year ended December 31, 2021
December 31, 2021
Saks
16,662,000
Cash
93,000
Cost of Goods Sokd
5,980,904
Accounts Receivabk, net
198,300
Gross project
Scling and Administrative Expenses
10,681,096
Raw Materiak Inventory
Finished Goods Imventory
15,416
7,386,000
91,838
920.000
1318.554
Income fom Operations
3,295,096
Machinery and equipment, net
Interest Experse
I1.020
Total Assets
Income Befkore Taves
3,184,076
Income Tax Expense
668656
Accounts Payable
106,885
Net Income
2,515,420
Income Taxes Payabke
668,656
Total Liabities
775,541
Common Stock
250,000
Retained carmings
293.013
Total iabilities and
Stockhokler's equity
1318.554
Sales
Unit sales for November 2021
115,000
Expected unit sales for March 2022
117,100
Unit sales for December 2021
100,500
Expected unit sales for April 2022
126,800
Expected unit sales for January 2022 114,500
Expected unit sales for May 2022
135,300
Expected unit sales for February 2022 116,200
Unit selling price
$13
Blue Fish likes to keep 15% of the next month's unit sales in ending inventory. All sales are on account. 80% of
the Accounts Receivable are collected in the month of sale, and 20% of the Accounts Receivable are collected
in the month after sale.
Direct Materials
Direct materials cost 82 cents per pound. 2.5 pounds of direct materials are required to produce cach unit.
Blue Fish likes to keep 10% of the materials needed for the next month in its ending inventory. Raw Materials
on December 31, 2021, totaled 18,800 pounds. Payment for materials is made within 15 days. 60% is paid in the
month of purchase, and 40% is paid in the month after purchase. There was no beginning or ending work-in-
process inventory for the 1" quarter.
Direct Labor
Labor requires 9 minutes per unit for completion and is paid at $13 per hour.

Transcribed Image Text:Manufacturing Overhead
Indirect materials
35¢ per labor hour
Depreciation
$16,200 per month
Indirect labor
60¢ per labor hour
Property taxes
$2.300 per month
Utilities
55¢ per labor hour
Insurance
$1.450 per month
Maintenance
35¢ per labor hour
Maintenance
$1,525 per month
Salaries
$49,000 per month
Selling and Administrative
Variable selling and administrative cost per
unit is $1.82
Advertising
$13,500 a month
Insurance
$1,375 a month
Salaries
$76,000 a month
Depreciation
$2,300 a month
Other fixed costs
$3,100 a month
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps

Knowledge Booster
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.Recommended textbooks for you


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON

Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education

Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education