Raw materials inventory Work in process inventory. Finished goods inventory.. Purchases of direct materials Direct labor.. Indirect labor. Beginning of Year $ $ $ 20,000 $ $ $ $ End of Year 23,000 $25,000 35,000 $ 31,000 22,000 74,000 86,000 42,000 Insurance on plant Depreciation-plant building and equipment Repairs and maintenance-plant Marketing expenses General and administrative expenses End of Year $ 11,500 $ 13,400 $ 3,700 $ 77,000 $ 28,500
Raw materials inventory Work in process inventory. Finished goods inventory.. Purchases of direct materials Direct labor.. Indirect labor. Beginning of Year $ $ $ 20,000 $ $ $ $ End of Year 23,000 $25,000 35,000 $ 31,000 22,000 74,000 86,000 42,000 Insurance on plant Depreciation-plant building and equipment Repairs and maintenance-plant Marketing expenses General and administrative expenses End of Year $ 11,500 $ 13,400 $ 3,700 $ 77,000 $ 28,500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Explanation -
Cost of Goods Sold -
Cost of Goods Sold is the cost incurred to sold goods to the customers. It includes Raw Material Consumed, Cost of Direct Labor, Factory Costs also Work in Process and Finished Goods.
Company sale products by adding profits in the cost of Goods sold in the form of sales price.
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