The following information relates to production of ABC Company for the month of March 2019: Direct Materials used              10,000; Direct labor rate per hour                  5.00 ; Overhead cost             2,300.00 ; Direct labor hours employed              500.00 ; Gross Profit rate      25% based on selling price; Increase in WIP             1,100.00 ; Ending inventory of Finished goods is 30% of its beginning balance; Total sales                       50,000.00. What is the ending inventory of Finished goods of the company?

Q: Round your answer to the nearest dollar

A: Explanation of Work in Process Inventory:Work in Process (WIP) inventory refers to partially…

Q: company absorbs factory overheads at a rate of N$25 per direct labour hour. During 2021, cost of…

A: Calculate the value of opening balance for the period:::: cost of finished goods…

Q: The following information is given to you from which you are required to prepare a Statement of Cost…

A: Based on the given information, here is the Statement of Cost and Sales for the period ended on 30th…

Q: 1. Beginning inventory consisted of 1,200 units. All materials and 40 percent of labor and overhead…

A: Answer:- correct option is c) $ 219,230

Q: A production department's beginning inventory cost includes $426,000 of conversion costs. This…

A: The term "weighted average" refers to an average in which each of the quantities to be averaged is…

Q: On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100%…

A: The income statement is prepared using different methods as absorption and variable costing. Using…

Q: A production department's beginning inventory cost includes $450,000 of conversion costs. This di…

A: Introduction:- The following formula used to calculate Cost per equivalent unit of conversion as…

Q: Beginning inventory amounted to 1,000 units. This period 4,500 units were started and com- pleted.…

A: FIFO is first in first out method of inventory that is used in process costing. Under this method,…

Q: How much is the adjustment to the Cost of Sales account to set up its correct balance?

A: Cost of sales, also known as cost of products sold, represents the direct costs connected with the…

Q: Work in process inventory increased by $20,000 during the current year. Cost of goods manufactured…

A: Cost of goods manufactured: Cost of goods manufactured means total manufacturing costs; including…

Q: Nathan Inc. provides the following cost information for producing 12,000 units of inventory during…

A: The objective of the question is to calculate the Cost of Goods Sold (COGS) for Nathan Inc. under…

Q: Lansing, Inc. provides the following information for one of its department’s operations for June (no…

A: Particulars Physical units Equivalent Units      Prior Department  Department T Flow of units:…

Q: Good Manufacturing Company applies manufacturing overhead at the rate of 150% of direct labor hour.…

A: Manufacturing overhead is the cost that is associated with making the product. Generally, these are…

Q: Lansing, Inc. provides the following information for one of its department’s operations for June (no…

A: Inventory valuation can be calculated using three methods. Namely FIFO, LIFO, weighted average…

Q: Sprint Shoes Inc. had a beginning inventory of 9,550 units on January 1, 20X1. The costs associated…

A: LIFO (last in first out) is one of the methods used in the valuation of the inventory of company. As…

Q: Calculate the cost of materials used if beginning raw materials inventory is $50,000, raw materials…

A: Cost of materials used = Beginning raw materials inventory + Raw materials purchased - Ending raw…

Q: Crunchem Cereal Company incurred the following actual costs during 20x1. Direct material used Direct…

A: Cost of Goods Sold (COGS) represents the direct expenses incurred in producing or purchasing the…

Q: The total manufacturing costs incurred in the current year are a.$302,000 b.$291,500 c.$275,750…

A: Cost of manufacturing is the cost of goods manufactured during the year. It include Direct Material…

Q: 22. Peter Company provided the following data for the year ended December 31, 2020: Raw materials…

A: Manufacturing cost means the cost which is incurred in factory or related with production of goods…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.