Solomon Corporation began fiscal Year 2 with the following balances in its Inventory accounts. $ 55,690 Raw Materials Kork in Process Finished Goods 82,290 26,500 During the accounting period, Solomon purchased $239,500 of raw materials and issued $249,100 of materials to the production department. Direct labor costs for the period amounted to $323,200, and manufacturing overhead of $47,300 was applied to Work in Process Inventory. Assume that there was no over- or underapplied overhead. Goods costing $610,200 to produce were completed and transferred to Finished Goods Inventory. Goods costing $602,000 were sold for $800,400 during the period. Selling and administrative expenses amounted to $70,400. Required a. Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet. b1. Prepare a schedule of cost of goods manufactured and sold. b2. Prepare an income statement. Complete this question by entering your answers in the tabs below. Req B1 Prepare a schedule of cost of goods manufactured and sold. SOLOMON CORPORATION Schedule of cost of goods manufactured and sold For the year ended Year 2 Req A Raw materials available Raw materials used Total manufacturing costs Total work in process inventory Cost of goods manufactured Goods available for sale Cost of goods sold Req B2 < Req A 0 0 0 0 0 0 Req B2 >
Solomon Corporation began fiscal Year 2 with the following balances in its Inventory accounts. $ 55,690 Raw Materials Kork in Process Finished Goods 82,290 26,500 During the accounting period, Solomon purchased $239,500 of raw materials and issued $249,100 of materials to the production department. Direct labor costs for the period amounted to $323,200, and manufacturing overhead of $47,300 was applied to Work in Process Inventory. Assume that there was no over- or underapplied overhead. Goods costing $610,200 to produce were completed and transferred to Finished Goods Inventory. Goods costing $602,000 were sold for $800,400 during the period. Selling and administrative expenses amounted to $70,400. Required a. Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet. b1. Prepare a schedule of cost of goods manufactured and sold. b2. Prepare an income statement. Complete this question by entering your answers in the tabs below. Req B1 Prepare a schedule of cost of goods manufactured and sold. SOLOMON CORPORATION Schedule of cost of goods manufactured and sold For the year ended Year 2 Req A Raw materials available Raw materials used Total manufacturing costs Total work in process inventory Cost of goods manufactured Goods available for sale Cost of goods sold Req B2 < Req A 0 0 0 0 0 0 Req B2 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Solomon Corporation began fiscal Year 2 with the following balances in its Inventory accounts.
$ 55,690
Raw Materials
Kork in Process
Finished Goods
82,290
26,500
During the accounting period, Solomon purchased $239,500 of raw materials and issued $249,100 of materials to the production
department. Direct labor costs for the period amounted to $323,200, and manufacturing overhead of $47,300 was applied to Work in
Process Inventory. Assume that there was no over- or underapplied overhead. Goods costing $610,200 to produce were completed and
transferred to Finished Goods Inventory. Goods costing $602,000 were sold for $800,400 during the period. Selling and administrative
expenses amounted to $70,400.
Required
a. Determine the ending balance of each of the three inventory accounts that would appear on the year-end balance sheet.
b1. Prepare a schedule of cost of goods manufactured and sold.
b2. Prepare an income statement.
Complete this question by entering your answers in the tabs below.
Req B1
Prepare a schedule of cost of goods manufactured and sold.
SOLOMON CORPORATION
Schedule of cost of goods manufactured and sold
For the year ended Year 2
Req A
Raw materials available
Raw materials used
Total manufacturing costs
Total work in process inventory
Cost of goods manufactured
Goods available for sale
Cost of goods sold
Req B2
< Req A
0
0
0
0
0
0
Req B2 >
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