[The following information applies to the questions displayed below.] Reimel Furniture Company, Inc., incurred the following costs during 20x2. Raw material used Direct labor During 20x2, manufacturing overhead of $160,000 was applied to production. Products costing $122,000 were finished, and products costing $132,000 were sold on account for $193,000. There were no purchases of raw material during the year. The beginning balances in the firm's inventory accounts are as follows: Raw material Work in process Finished goods $172,000 323,000 Exercise 3-31 Part 1 $225,000 18,000 28,000 Required: 1. Prepare T-accounts to show the flow of costs through the company's manufacturing accounts during 20x2.
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Please do not give solution in image format thanku
![Required information
Exercise 3-31 Manufacturing Cost Flows (LO 3-2, 3-5, 3-6)
[The following information applies to the questions displayed below.]
Reimel Furniture Company, Inc., incurred the following costs during 20x2.
Raw material used
Direct labor
During 20x2, manufacturing overhead of $160,000 was applied to production. Products costing $122,000 were finished,
and products costing $132,000 were sold on account for $193,000. There were no purchases of raw material during the
year. The beginning balances in the firm's inventory accounts are as follows:
Exercise 3-31 Part 1
Raw material
Work in process
Finished goods
Beg. Bal
Required:
1. Prepare T-accounts to show the flow of costs through the company's manufacturing accounts during 20x2.
Raw Material Inventory
End. Bal
Beg. Bal
End. Bal
Beg. Bal
End. Bal
Beg. Bal
End. Bal
$172,000
323,000
$225,000
18,000
28,000
Inventory:
Wages Payable
Finished-Goods Inventory
Prepare a partial balance sheet.
Accounts Receivable
REIMEL FURNITURE COMPANY, INC.
Partial Balance Sheet
As of December 31, 20x2
Beg. Bal.
Direct material
Direct labor
Manufacturing overhead
End. Ball
Beg. Bal
End. Bal
Beg. Bal.
End. Bal.
Beg. Bal
End. Bal.
Work-in-Process Inventory
Manufacturing Overhead
Sales Revenue
Cost of Goods Sold
Prepare a partial income statement.
REIMEL FURNITURE COMPANY, INC.
Partial Income Statement
For the Year Ended December 31, 20x2](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F42b072c6-14da-4be2-a91a-d8ef8b8d81b3%2F4d000e2d-8844-45cd-8b8a-bf2e6c368340%2F4waanqe_processed.png&w=3840&q=75)
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
