he following information is available for Carter Corporation:Materials inventory decreased $4,000.Materials inventory on December 31 was 50% of materials inventory on January 1.Beginning work in process inventory was $145,000.Ending finished goods inventory was $65,000.Purchases of direct materials were $154,700.Direct materials used were 2.5 times the cost of direct labor.Total manufacturing costs incurred were $246,400, which is 80% of cost of goods manufactured and $156,000 less than cost of goods sold.Note to students: The answers are not necessarily calculated in alphabetical order.a. Compute Finished goods inventory on January 1.$b. Compute Work in process inventory on December 31.$c. Compute Direct labor incurred.$d. Compute Factory overhead incurred.$e. Compute Materials inventory on January 1.$f. Compute Materials inventory on December 31.$g. Compute Direct materials used.$

a. Compute Finished goods inventory on January 1.

Answered: he following information is available…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

he following information is available for Carter Corporation:

Materials inventory decreased $4,000.

Materials inventory on December 31 was 50% of materials inventory on January 1.

Beginning work in process inventory was $145,000.

Ending finished goods inventory was $65,000.

Purchases of direct materials were $154,700.

Direct materials used were 2.5 times the cost of direct labor.

Total manufacturing costs incurred were $246,400, which is 80% of cost of goods manufactured and $156,000 less than cost of goods sold.

Note to students: The answers are not necessarily calculated in alphabetical order.

a. Compute Finished goods inventory on January 1.
$

b. Compute Work in process inventory on December 31.
$

c. Compute Direct labor incurred.
$

d. Compute Factory overhead incurred.
$

e. Compute Materials inventory on January 1.
$

f. Compute Materials inventory on December 31.
$

g. Compute Direct materials used.
$

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