Taylor Industries had a fire and some of its accounting records were destroyed. Available information is presented below for the year ended December 31. Materials inventory, December 31 $ 15,000 Direct materials purchased 28,000 Direct materials used 22,900 Cost of goods manufactured 135,000 Additional information: Factory overhead is 150% of direct labor cost. Finished goods inventory decreased by $18,000 during the year. Work in process inventory increased by $12,000 during the year. a. Calculate Materials inventory, January 1.$ b. Calculate direct labor cost.$ c. Calculate factory overhead incurred.$ d. Calculate cost of goods sold.$
Taylor Industries had a fire and some of its accounting records were destroyed. Available information is presented below for the year ended December 31. Materials inventory, December 31 $ 15,000 Direct materials purchased 28,000 Direct materials used 22,900 Cost of goods manufactured 135,000 Additional information: Factory overhead is 150% of direct labor cost. Finished goods inventory decreased by $18,000 during the year. Work in process inventory increased by $12,000 during the year. a. Calculate Materials inventory, January 1.$ b. Calculate direct labor cost.$ c. Calculate factory overhead incurred.$ d. Calculate cost of goods sold.$
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Taylor Industries had a fire and some of its accounting records were destroyed. Available information is presented below for the year ended December 31.
| Materials inventory, December 31 | $ 15,000 |
| Direct materials purchased | 28,000 |
| Direct materials used | 22,900 |
| Cost of goods manufactured | 135,000 |
Additional information:
Factory
Finished goods inventory decreased by $18,000 during the year.
Work in process inventory increased by $12,000 during the year.
a. Calculate Materials inventory, January 1.
$
b. Calculate direct labor cost.
$
c. Calculate factory overhead incurred.
$
d. Calculate cost of goods sold.
$
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