Problem 1: Cost of Goods Manufactured (page 10-11) In addition to the year-end statement of financial position and incc management of Esterlina Gevera Company required the control statement of cost of goods manufactured. During 2019, P361,920 of purchased. Operating cost data and inventory account balances for 2

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
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
Finished Goods Inventory, Dec. 31, 2019
Required:
1.
2.
3.
Compute the cost of direct materials used during the year.
Compute the total manufacturing costs for the year.
Compute for the cost of goods manufactured during the year.
Transcribed Image Text: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 Finished Goods Inventory, Dec. 31, 2019 Required: 1. 2. 3. Compute the cost of direct materials used during the year. Compute the total manufacturing costs for the year. Compute for the cost of goods manufactured during the year.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

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
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