Golets Sporting Goods Company manufactured 100,000 units in 2021 and reported the following costs: Sandpaper Materials handling Coolants & lubricants Indirect manufacturing labor Direct manufacturing labor Direct materials, 1/1/21 Finished goods, 1/1/21 Finished goods, 12/31/21 Work-in-process, 1/1/21 Work-in-process, 12/31/21 Р 32,000 320,000 22,400 275,200 2,176,000 384,000 672,000 1,280,000 96,000 64,000 Leasing costs - plant Depreciation - equipment Property taxes - equipment Fire insurance - equipment Direct material purchases Direct materials, 12/31/21 Sales revenue Sales commissions Sales salaries Advertising costs Administration costs P 384,000 224,000 32,000 16,000 3,136,000 275,200 12,800,000 640,000 576,000 480,000 800,000 Required: 1. What is the amount of direct materials used in 2021? 2. What manufacturing costs woro addod to WID in 2021 2
Golets Sporting Goods Company manufactured 100,000 units in 2021 and reported the following costs: Sandpaper Materials handling Coolants & lubricants Indirect manufacturing labor Direct manufacturing labor Direct materials, 1/1/21 Finished goods, 1/1/21 Finished goods, 12/31/21 Work-in-process, 1/1/21 Work-in-process, 12/31/21 Р 32,000 320,000 22,400 275,200 2,176,000 384,000 672,000 1,280,000 96,000 64,000 Leasing costs - plant Depreciation - equipment Property taxes - equipment Fire insurance - equipment Direct material purchases Direct materials, 12/31/21 Sales revenue Sales commissions Sales salaries Advertising costs Administration costs P 384,000 224,000 32,000 16,000 3,136,000 275,200 12,800,000 640,000 576,000 480,000 800,000 Required: 1. What is the amount of direct materials used in 2021? 2. What manufacturing costs woro addod to WID in 2021 2
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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what is the answer for number 2?

Transcribed Image Text:Golets Sporting Goods Company manufactured 100,000 units in 2021 and reported the
following costs:
P 32,000
320,000
22,400
275,200
2,176,000
384,000
672,000
1,280,000
96,000
64,000
Leasing costs - plant
Depreciation - equipment
Property taxes - equipment
Fire insurance - equipment
Direct material purchases
Direct materials, 12/31/21
Sales revenue
P 384,000
224,000
32,000
16,000
3,136,000
275,200
12,800,000
640,000
576,000
480,000
800,000
Sandpaper
Materials handling
Coolants & lubricants
Indirect manufacturing labor
Direct manufacturing labor
Direct materials, 1/1/21
Finished goods, 1/1/21
Finished goods, 12/31/21
Work-in-process, 1/1/21
Work-in-process, 12/31/21
Sales commissions
Sales salaries
Advertising costs
Administration costs
Required:
1. What is the amount of direct materials used in 2021?
2. What manufacturing costs were added to WIP in 2021?
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