P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company contained the following data. Job Direct Total Manufacturing Overhead Direct Number Explanation Materials Labor Costs $ 77,800 109,200 50,600 148,600 179,000 7640 Balance 1/1 $25,000 30,000 11,000 $24,000 36,000 18,000 48,000 55,000 $28,800 43,200 Current year's costs Balance 1/1 Current year's costs Current year's costs 7641 21,600 43,000 58,000 57,600 7642 66,000 Other data: 1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account. 2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000. 3. Job No. 7640 and Job No. 7641 were completed during the year. 4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000. 5. Manufacturing overhead incurred on account totaled $120,000. 6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $18,000, and depreciation on factory machinery $8,000.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Topic Video
Question
100%

Please see attachment for the data 

Question :

Determine the gross profit to be reported for 2014

Thanks in advance

P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company
contained the following data.
Job
Direct
Total
Manufacturing
Overhead
Direct
Number
Explanation
Materials
Labor
Costs
$ 77,800
109,200
50,600
148,600
179,000
7640
Balance 1/1
$25,000
30,000
11,000
$24,000
36,000
18,000
48,000
55,000
$28,800
43,200
Current year's costs
Balance 1/1
Current year's costs
Current year's costs
7641
21,600
43,000
58,000
57,600
7642
66,000
Other data:
1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw
materials were purchased on account.
2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639
for $92,000.
3. Job No. 7640 and Job No. 7641 were completed during the year.
4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000.
5. Manufacturing overhead incurred on account totaled $120,000.
6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor
$18,000, and depreciation on factory machinery $8,000.
Transcribed Image Text:P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company contained the following data. Job Direct Total Manufacturing Overhead Direct Number Explanation Materials Labor Costs $ 77,800 109,200 50,600 148,600 179,000 7640 Balance 1/1 $25,000 30,000 11,000 $24,000 36,000 18,000 48,000 55,000 $28,800 43,200 Current year's costs Balance 1/1 Current year's costs Current year's costs 7641 21,600 43,000 58,000 57,600 7642 66,000 Other data: 1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account. 2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000. 3. Job No. 7640 and Job No. 7641 were completed during the year. 4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000. 5. Manufacturing overhead incurred on account totaled $120,000. 6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $18,000, and depreciation on factory machinery $8,000.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 1 images

Blurred answer
Knowledge Booster
Financial Statements
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.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education