select choice Flagler, Inc. disposes of under or overapplied overhead at year-end asan adjustment to the cost of goods sold. Prior to disposal, the firmreported a cost of goods sold of $590,000 in a year whenmanufacturing overhead was underapplied by $15,000. If sales revenuetotaled $1,400,000, determine (1) Flagler's adjusted cost of goods soldand (2) gross margin.Adjusted Cost of Goods SoldGross MarginA$ 5,75,000$ 8,10,000B$ 5,75,000$ 8,25,000C$ 5,90,000$ 8,10,000D$ 6,05,000$ 7,95,000E$ 6,05,000$ 8,10,0001. Choice A2. Choice B3. Choice C4. Choice D5. Choice E

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Answered: Flagler, Inc. disposes of under or…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter4: Accounting For Factory Overhead

Section: Chapter Questions

Problem 18E: Housley Paints Co. had a remaining debit balance of $25,000 in its under- and overapplied factory...

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Renfro, Inc. was franchised on January 1, 2016. At the end of its third year of operations, December 31, 2018, management requested a study to determine what effect different materials inventory costing methods would have had on its reported net income over the three-year period. The materials inventory account, using LIFO, FIFO, and weighted average, would have had the following ending balances: a. Assuming the same number of units in ending inventory at the end of each year, were material costs rising or falling from 2016 to 2018? b. Which costing method would show the highest net income for 2017? c. Which method would show the lowest net income for 2018? d. Which method would show the highest net income for the three years combined?
Assume that prior to period-end adjustments, Latonya Company reported Cost of Goods Sold of $15,000, and Sales of $85,000. If Latonya Company had underapplied manufacturing overhead of $5,000, what amount c income statement, after adjustments? O $75,000 O $80,000 O $65,000 O $85,000
Worth Company reported the following year-end information- beginning work in process inventory, $180,000; cost of goods manufactured, $866,000; beginning finished goods inventory, $252,000; ending work in process inventory, $220,000; and ending finished goods inventory, $264,000. Worth Company's cost of goods sold for the year is? requirement: with solution
The beginning and ending finished goods inventories of the Prize Ring manufacturing company were $92,000 and $85,750 respectively. If cost of goods sold equaled $76,200, what is the amount of cost of goods manufactured for this period? O $6,250 O $69,950 O $82,450 O $101,550 O $253,950 Question 6 nformation for Gifford, Inc., as of December 31 follows: Administrative salaries Depreciation of factory equipment F2 $ 35,000 25,000
a. Calculate the cost of goods manufactured for the year by Gopaul Electronics b.) Prepare an income statement for Gopaul Electronics for the year ended December 31, 2023, clearly showing the calculation of Cost of Goods Sold. List the non-production overheads in order of size starting with the largest. c) What is the selling price per switch if Gopaul Electronics manufactured 1,500 switches for the period under review and uses a mark-up of 33⅓% on cost?
Direct labour Sales Selling expenses Raw (direct) materials on hand: January 1 December 31 General and administrative expenses Finished goods: January 1 Work-in-process: January 1 December 31 Direct materials purchases Depreciation: factory Indirect labour Indirect materials used Marketing promotions Factory taxes Utilities Courier costs (office) Miscellaneous plant overhead Plant repairs and maintenance Customer service costs Fire insurance: factory equipment Materials handling costs $ 30,000 400,000 50,000 8,000 4,000 18,000 25,000 19,000 18,000 47,000 20,000 3,000 7,000 1,500 11,000 20,000 900 4,000 9,000 3,000 3,000 8,000
1)Coronado Industries reported the following year-end information: beginning work in process inventory, $82000; cost of goods manufactured, $760000; beginning finished goods inventory, $52000; ending work in process inventory, S72000; and ending finished goods inventory, $42000. How much is Coronado's cost of goods sold for the year? a) $760000 b) S750000 c) S770000 d) $780000
ABC began operations at the beginning of the current year and keeps absorption-cost accounting records. There is no beginning finished-goods inventory. ABC achieved its planned production level for the year. The company's fixed manufacturing overhead totaled RM188,000, and the firm paid a 10% commission based on gross sales (RM) to its sales force. On the company's profit or loss statement and end-of-year statement of financial position, the following information was included: Profit or Loss Data: RM Sales revenues (35,000 units @ RM24) 840,000 Gross Margin 210,000 Total sales and administrative expenses 160,000 Financial Position Data: Ending finished-goods inventory (12,000 units) 216,0000 Compute the number of units that ABC planned to produce during the year.
ABC began operations at the beginning of the current year and keeps absorption-cost accounting records. There is no beginning finished-goods inventory. ABC achieved its planned production level for the year. The company's fixed manufacturing overhead totaled RM188,000, and the firm paid a 10% commission based on gross sales (RM) to its sales force. On the company's profit or loss statement and end-of-year statement of financial position, the following information was included: Profit or Loss Data: RM Sales revenues (35,000 units @ RM24) 840,000 Gross Margin 210,000 Total sales and administrative expenses 160,000 Financial Position Data: Ending finished-goods inventory (12,000 units) 216,0000 Compute ABC's cost of goods sold using absorption costing.
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At the end of the year, overhead applied was $42,000,000. Actual overhead was $40,300,000. Closing over/underapplied overhead into Cost of Goods Sold would cause net income to increase or decase and by how much?
АСTIVITY: Problem 1: Cost of Goods Manufactured (page 10-11) In addition to the year-end statement of financial position and income statement, the management of Esterlina Gevera Company required the controller to prepare the statement of cost of goods manufactured. During 2019, P361,920 of Raw materials were purchased. Operating cost data and inventory account balances for 2019 follows: Direct labor (10,430 hours at P9.50 per hour) Plant Supervision Indirect labor (20,280 hours at P6.25 per hour) Factory Insurance Factory Utilities Depreciation-Factory Building Depreciation-Factory Utilities Manufacturing Supplies Repairs and Maintenance Selling and Administrative Expenses Raw Materials Inventory, Jan. 1, 2019 Work in Process Inventory, Jan. 1, 2019 P 99,085 42,500 126,750 8,100 29,220 46,200 62,800 9,460 14,980 76,480 26,490 101,640 148,290 24,910 100,400 141,100 Finished Goods Inventory, Jan. 1, 2019 Raw Materials Inventory, Dec. 31, 2019 Work in Process Inventory, Dec. 31, 2019…

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