Ch 2 Cost of Goods Mfg - Cost of Goods Sold - IS Handout

Ch 2 Cost of Goods Mfg - Cost of Goods Sold - IS Handout -...

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Schedule of Costs of Goods Manufactured           Cost of Goods Sold Income Statement Raw Material Inventory      Beg. Raw Material Inventory 1/1/04  $68,000    + Raw Material Purchased During 2004 210,000    = Raw Material Available for Transfer to WIP 278,000  22,000    = Raw Material Transferred to WIP  $256,000  Work-in-Process Inventory (WIP)      Beg. WIP Inventory 1/1/04  $50,000      Schedule of Cost of                  Raw Material Transferred to WIP 256,000      Goods Manufactured               + Direct Labor 135,000      Pg 38, 39               + Manufacturing Overhead 150,000                = Total Manufacturing Costs for 2004 541,000  541,000     = WIP Available for Transfer to Finished Goods 591,000      - Ending WIP Inventory 12/31/04 16,000     = Cost of Goods Manufactured  $575,000  Finished Goods Inventory      Beg. Finished Goods Inventory 1/1/04  $50,000    + Cost of Goods Manufactured 575,000      Determination of   = Finished Goods Available for Sale 625,000      Cost of Goods Sold    - Ending Finished Goods Inventory 12/31/04 130,000  Pg 40   = Cost of Goods Sold for 2004  $495,000  Income Statement for the Year Ended 12/31/04 Pg 41 Sales Revenue  $792,000  Cost of Goods Sold 495,000  Gross Margin 297,000  Selling expenses 199,200  Administrative expenses 85,000  Net Operating Income  $12,800       - Ending Raw Material Inventory 12/31/04
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Schedule of Costs of Goods Manufactured           Cost of Goods Sold Income Statement Raw Material Inventory      Beg. Raw Material Inventory May 1  $68,000    + Raw Material Purchased During May 210,000    = Raw Material Available for Transfer to WIP 22,000    = Direct Materials Used In Production Work-in-Process Inventory (WIP)      Beg. WIP Inventory May 1
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This note was uploaded on 10/20/2011 for the course ACC 222 taught by Professor Brewer during the Spring '08 term at Miami University.

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Ch 2 Cost of Goods Mfg - Cost of Goods Sold - IS Handout -...

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