Concept explainers
Lean Business Model:
Lean Business Model is a strategic approach to business where the thrust is on eliminating wastes from the processes and products of the business without compromising on the satisfaction of customer needs.
Cost of Goods Sold:
For production of goods to be sold to customers, manufacturers procure the raw material in form of direct material on which labor and overheads are applied to convert the raw material into finished goods. The cost of these raw material used for production of finished goods are called as cost of goods sold.
Requirement 1:
Lean Business Model:
Lean Business Model is a strategic approach to business where the thrust is on eliminating wastes from the processes and products of the business without compromising on the satisfaction of customer needs.
Cost of Goods Sold:
For production of goods to be sold to customers, manufacturers procure the raw material in form of direct material on which labor and overheads are applied to convert the raw material into finished goods. The cost of these raw material used for production of finished goods are called as cost of goods sold.
Requirement 2:
Journal entry to record cost of goods sold for $11,760
Want to see the full answer?
Check out a sample textbook solutionChapter C Solutions
Managerial Accounting
- AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
- Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSONIntermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill EducationFinancial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education