Explanation Work-in-process: Work-in-process inventory refers to manufactured products that are only partially completed at the date when the balance sheet is prepared. Finished-goods: Finished-goods inventory refers to manufactured goods that are complete and ready for sale. Prepare cost of work-in-progress and finished-goods inventories. Particulars Amount ($) Finished-goods inventory, January, 1 37,000 Add: Cost of goods manufactured (working note 5) 238,000 Cost of goods available for sale 275,000 Less: Finished-goods inventory, April,12 44,000 Cost of goods sold (working note 1) 231,000 Table (1) Working Note 1: Calculate the cost of goods sold. Cost of Goods Sold = ( 70% × sales ) = 70 % × 330 , 000 = $ 231 , 000 Working Note 2: Calculate the direct material used. Working Note 3: Calculate the manufacturing overhead. Y = ( Direct material used + Direct labor + Manufacturing overhead ) × ( Manufacturing </

Managerial Accounting: Creating Value in a Dynamic Business Environment

11th Edition

ISBN: 9781259569562

Author: Ronald W Hilton Proffesor Prof, David Platt

Publisher: McGraw-Hill Education

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Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the conting…

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Chapter 2, Problem 39P

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Prepare cost of work-in-progress and finished-goods inventories.

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Chapter 2, Problem 38P

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Managerial Accounting: Creating Value in a Dynamic Business Environment

Ch. 2 - Distinguish between product costs and period...Ch. 2 - Why are product costs also called inventoriable...Ch. 2 - What is the most important difference between a...Ch. 2 - List several product costs incurred in the...Ch. 2 - Prob. 5RQ Ch. 2 - Why is the cost of idle time treated as...Ch. 2 - Explain why an overtime premium is included in...Ch. 2 - Prob. 8RQ Ch. 2 - Give examples to illustrate how the city of Tampa...Ch. 2 - Distinguish between fixed costs and variable...

Ch. 2 - How does the fixed cost per unit change as the...Ch. 2 - Prob. 12RQ Ch. 2 - Distinguish between volume-based and...Ch. 2 - Would each of the following characteristics be a...Ch. 2 - List three direct costs of the food and beverage...Ch. 2 - List three costs that are likely to be...Ch. 2 - Which of the following costs are likely to be...Ch. 2 - Distinguish between out-of-pocket costs and...Ch. 2 - Define the terms sunk cost and differential cost.Ch. 2 - Distinguish between marginal and average costs.Ch. 2 - Prob. 21RQ Ch. 2 - Two years ago the manager of a large department...Ch. 2 - Indicate whether each of the following costs is a...Ch. 2 - For each case below, find the missing amount.Ch. 2 - A foundry employee worked a normal 40-hour shift,...Ch. 2 - A loom operator in a textiles factory earns 16 per...Ch. 2 - Consider the following costs that were incurred...Ch. 2 - Alexandria Aluminum Company, a manufacturer of...Ch. 2 - Prob. 30E Ch. 2 - A hotel pays the phone company 100 per month plus...Ch. 2 - Prob. 32E Ch. 2 - Orbital Communications, Inc. manufactures...Ch. 2 - The state Department of Education owns a computer...Ch. 2 - Prob. 35E Ch. 2 - List the costs that would likely be included in...Ch. 2 - Consider the following cost items: 1. Salaries of...Ch. 2 - The following selected information was extracted...Ch. 2 - Prob. 39P Ch. 2 - Mason Corporation began operations at the...Ch. 2 - Determine the missing amounts in each of the...Ch. 2 - The following cost data for the year just ended...Ch. 2 - The following data refer to San Fernando Fashions...Ch. 2 - Highlander Cutlery manufactures kitchen knives....Ch. 2 - Cape Cod Shirt Shop manufactures T-shirts and...Ch. 2 - Heartland Airways operates commuter flights in...Ch. 2 - San Diego Sheet Metal, Inc. incurs a variable cost...Ch. 2 - Hightide Upholstery Company manufactures a special...Ch. 2 - For each of the following costs, indicate whether...Ch. 2 - Indicate for each of the following costs whether...Ch. 2 - Water Technology, Inc. incurred the following...Ch. 2 - The following terms are used to describe various...Ch. 2 - Several costs incurred by Bayview Hotel and...Ch. 2 - Refer to Exhibit 23, and answer the following...Ch. 2 - Roberta Coy makes custom mooring covers for boats....Ch. 2 - The Department of Natural Resources is responsible...Ch. 2 - Prob. 57P Ch. 2 - Prob. 58P Ch. 2 - CompTech, Inc. manufactures printers for use with...Ch. 2 - You just started a summer internship with the...

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