Introduction To Managerial Accounting
8th Edition
ISBN: 9781259917066
Author: BREWER, Peter C., Garrison, Ray H., Noreen, Eric W.
Publisher: Mcgraw-hill Education,
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Chapter 3.A, Problem 6P
Transaction Analysis
Brooks Corporation uses a
During March thecompany completed the following transactions:
a. Purchased raw materials for cash, $69,000.
b. Raw material used in production $77,000 ($67,000 was directmaterials and $10,000 was indirect materials).
c. Paid $178,000 of salaries and wages in cash ($102, 000 was direct labor, $23,000 was Indirect labor, and $53,000 was related to employees responsible for selling and administration).
d. Various manufacturing
e.
f. Various selling expenses incurred on account, $27,000.
g. Prepaid insurance expired during the month, $450 (60% related to production, and 40% related to selling and administration).
h. Manufacturing overhead applied to production, $101,000.
i. Cost of goods manufactured, $_____ ? . (Hint: The Work Process balance on March 31 is $5,000.)
j. Cash sales to customer $429,000.
k. Cost of goods sold (unadjusted), $______ ? . (Hint: The Finished Goods balance at March 31 is $6,000.)
l. Cash payments to creditors, $35,000.
m. Under applied orover applied overhead $________?.
Required:
1. Calculate the ending balances that would be reported on the company’s balance at March 31. You can derive your answers using Microsoft Excel Exhibit 3A-2 as your guide, or you can use paper, pencil, and a calculator. (Hint: Be sure to calculate the under-applied or over-applied and thenaccount for its effect on the balance sheet,)
2. Prepare Brooks Corporation’s schedule of costof goods manufactured for the month ended March 31. You can derive answers usingMicrosoft Excel and Exhibit 3A -3 as your guide, or you can use paper, pencil, and a calculator.
3. Prepare Brooks Corporation's schedule of cost of goods sold for the month ended March 31. You can derive your answers using Microsoft Excel and Exhibit 3A-4as your guide, or you can use paper, pencil, and a calculator.
4. Prepare Brooks Corporation's income statement for the month ended March 31. You can derive youranswers using Microsoft Excel and Exhibit 3A-5 as your guide, or you can usepaper, pencil, and a calculator.
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Chapter 3 Solutions
Introduction To Managerial Accounting
Ch. 3.A - Carmen Company is a manufacturer that completed...Ch. 3.A - Transaction Analysis L03-5 Adams Company is a...Ch. 3.A - Transaction Analysis L03-5 Dixon Company is a...Ch. 3.A - A Transaction Analysis L03-5 Morrison Company uses...Ch. 3.A - Prob. 5PCh. 3.A - Transaction Analysis Brooks Corporation uses a...Ch. 3 - What is the link that connect the schedule of cost...Ch. 3 - What account is credited when overhead cost is...Ch. 3 - What is under applied overhead? Over applied...Ch. 3 - Provide two reason why overhead might be under...
Ch. 3 - What adjustment is made for under applied overhead...Ch. 3 - How do you compute the raw materials used in...Ch. 3 - How do you compute the total manufacturing cost...Ch. 3 - How do you compute the cost of goods manufactured?Ch. 3 - How do you compute the unadjusted cost of goods...Ch. 3 - How do direct labor costs flows through a...Ch. 3 - The Excel work sheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Prob. 4F15Ch. 3 - Prob. 5F15Ch. 3 - Prob. 6F15Ch. 3 - Prob. 7F15Ch. 3 - Prob. 8F15Ch. 3 - Prob. 9F15Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Prob. 11F15Ch. 3 - Prob. 12F15Ch. 3 - Prob. 13F15Ch. 3 - Prob. 14F15Ch. 3 - Prob. 15F15Ch. 3 - Prepare Journal Entries L03-1 Larned Corporation...Ch. 3 - Prepare Accounts L03-2, L03-4 Jurvin Enterprises...Ch. 3 - Schedules of Cost of Goods Manufactured and Cost...Ch. 3 - Under applied and Overapplied Overhead Osborn...Ch. 3 - Journal Entries and T-Accounts 103-1,103-2 The...Ch. 3 - EXERCISE 3-6 Schedules of Cost of Goods...Ch. 3 - Applying Overhead; Cost of Goods Manufactured...Ch. 3 - Applying Overhead; Journal Entries; Disposing of...Ch. 3 - Applying Overhead; T-Accounts; Journal Entries...Ch. 3 - Applying Overhead; Journal Entries; T-accounts...Ch. 3 - PROBLEM 3-11 T-Account Analysis of cost Flows...Ch. 3 - PROBLEM 3-12 Predetermined Overhead Rate;...Ch. 3 - Schedules of Cost of Goods Manufactured and Cost...Ch. 3 - Schedule of Cost of Goods Manufactured; Overhead...Ch. 3 - Journal Entries; T-Accounts; Financial Statements...Ch. 3 - Comprehensive problem L03-1, L03-2, L03-4 Gold...Ch. 3 - Cost Flows; T-Accounts; Income Statement L03-z...
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