Homework Help is Here – Start Your Trial Now!
Business
Accounting
The following data from the just completed year are taken from the accounting records of Mason Company: Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs Inventories Raw materials Work in process Finished goods Beginning $ 8,500 $ 5,800 Ending $ 10,000 $ 20,600 $ 79,000 $ 25,400 $ 656,000 $ 84,000 $ 136,000 $ 107,000 $ 49,000 $ 227,000 $ 205,000 Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement.

The following data from the just completed year are taken from the accounting records of Mason Company: Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs Inventories Raw materials Work in process Finished goods Beginning $ 8,500 $ 5,800 Ending $ 10,000 $ 20,600 $ 79,000 $ 25,400 $ 656,000 $ 84,000 $ 136,000 $ 107,000 $ 49,000 $ 227,000 $ 205,000 Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement.

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

Please do not give solution in image format thanku 

The following data from the just completed year are taken from the accounting records of Mason Company: Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs Inventories Raw materials Work in process Finished goods Ending Beginning $ 8,500 $ 10,000 $ 5,800 $ 20,600 $ 79,000 $ 25,400 $ 656,000 $ 84,000 $ 136,000 $ 107,000 $ 49,000 $ 227,000 $ 205,000 Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement.
Transcribed Image Text:The following data from the just completed year are taken from the accounting records of Mason Company: Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs Inventories Raw materials Work in process Finished goods Ending Beginning $ 8,500 $ 10,000 $ 5,800 $ 20,600 $ 79,000 $ 25,400 $ 656,000 $ 84,000 $ 136,000 $ 107,000 $ 49,000 $ 227,000 $ 205,000 Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement.
Prepare a schedule of cost of goods manufactured. Assume all raw materials used in producti Ending raw materials inventory Direct materials: Beginning raw materials inventory Add: Purchases of raw materials Total raw materials available Less: Ending raw materials inventory Direct materials used in production Direct labor Manufacturing overhead Manufacturing overhead Mason Company Schedule of Cost of Goods Manufactured Total manufacturing costs added to production Total manufacturing costs to account for Less: Ending work in process inventory Cost of goods manufactured Required 1 Required 2 Required 1 Add: Underapplied overhead Adjusted cost of goods sold Prepare an income statement. Net operating income Beginning finished goods inventory Add: Cost of goods manufactured Cost of goods available for sale Less: Ending finished goods inventory Unadjusted cost of goods sold Required 2 Required 3 Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expense ✓$ ✓ Prepare a schedule of cost of goods sold. Assume that the company's under of Goods Sold. Mason Company Schedule of Cost of Goods Sold Mason Company Income Statement 300 ✓ ✓ x ✓ ✔ ✔ <Required 1 Required 3 8,500 136,000✔ 144,500 10,000✔ $ 107,000 49,000 $ 134,500 84,000 227,000✔ 445,500 x ✓ ✓ ✓ ✓ x $ S 79,000 430,700 509,700 25,400 484,300 $ S 656,000✔✔ 506,300 x 149,700 Required 2 > 156,000 (6,300) 891,000 891,000 20,600 $ 430,700 22,000 506,300
Transcribed Image Text:Prepare a schedule of cost of goods manufactured. Assume all raw materials used in producti Ending raw materials inventory Direct materials: Beginning raw materials inventory Add: Purchases of raw materials Total raw materials available Less: Ending raw materials inventory Direct materials used in production Direct labor Manufacturing overhead Manufacturing overhead Mason Company Schedule of Cost of Goods Manufactured Total manufacturing costs added to production Total manufacturing costs to account for Less: Ending work in process inventory Cost of goods manufactured Required 1 Required 2 Required 1 Add: Underapplied overhead Adjusted cost of goods sold Prepare an income statement. Net operating income Beginning finished goods inventory Add: Cost of goods manufactured Cost of goods available for sale Less: Ending finished goods inventory Unadjusted cost of goods sold Required 2 Required 3 Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expense ✓$ ✓ Prepare a schedule of cost of goods sold. Assume that the company's under of Goods Sold. Mason Company Schedule of Cost of Goods Sold Mason Company Income Statement 300 ✓ ✓ x ✓ ✔ ✔ <Required 1 Required 3 8,500 136,000✔ 144,500 10,000✔ $ 107,000 49,000 $ 134,500 84,000 227,000✔ 445,500 x ✓ ✓ ✓ ✓ x $ S 79,000 430,700 509,700 25,400 484,300 $ S 656,000✔✔ 506,300 x 149,700 Required 2 > 156,000 (6,300) 891,000 891,000 20,600 $ 430,700 22,000 506,300
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Performance measurements
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.
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
SEE MORE TEXTBOOKS