n January 1, Standard Manufacturing had a beginning balance in Work−in−Process Inventory of $81,500 and a beginning balance in Finished Goods Inventory of $22,000. During the year, Standard incurred manufacturing costs of $352,000. During the year, the following transactions occurred: Job A−12 was completed for a total cost of $120,000 and was sold for $128,000. Job A−13 was completed for a total cost of $201,000 and was sold for $213,000. Job A−15 was completed for a total cost $61,000 but was not sold as of year−end. The Manufacturing Overhead account had an unadjusted credit balance of $12,000 and was adjusted to zero at year−end. What was the amount of gross profit reported by Standard at the end of the year?
n January 1, Standard Manufacturing had a beginning balance in Work−in−Process Inventory of $81,500 and a beginning balance in Finished Goods Inventory of $22,000. During the year, Standard incurred manufacturing costs of $352,000. During the year, the following transactions occurred: Job A−12 was completed for a total cost of $120,000 and was sold for $128,000. Job A−13 was completed for a total cost of $201,000 and was sold for $213,000. Job A−15 was completed for a total cost $61,000 but was not sold as of year−end. The Manufacturing Overhead account had an unadjusted credit balance of $12,000 and was adjusted to zero at year−end. What was the amount of gross profit reported by Standard at the end of the year?
Chapter1: Financial Statements And Business Decisions
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On January 1, Standard Manufacturing had a beginning balance in
manufacturing costs of
Work−in−Process
Inventory of
$81,500
and a beginning balance in Finished Goods Inventory of
$22,000.
During the year, Standard incurred $352,000.
During the year, the following transactions occurred:
Job A−12 was completed for a total cost of $120,000 and was sold for $128,000.
Job A−13 was completed for a total cost of $201,000 and was sold for $213,000.
Job A−15 was completed for a total cost $61,000 but was not sold as of year−end.
The Manufacturing Overhead account had an unadjusted credit balance of $12,000 and was adjusted to zero at year−end.
What was the amount of gross profit reported by Standard at the end of the year?
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