Internal reports a may as a basis of valuation use

19- Internal reports:
a- May as a basis of valuation use any monetary or physical
measurement basis.
b- Must adhere to generally accepted accounting principles.
c- Usually adopt a company-wide perspective.
d- Are directly regulated.
20- The following data relate to Lendl Manufacturing Company for the period:
Direct labor .......... $ 2,400
Factory overhead ......... 1,700
Work-in-process inventory at end of period 5,000
Cost of goods manufactured 16,000
Sales 50,000
Opening finished goods inventory 9,000
Closing finished goods inventory 8,000
Total selling, general, and administrative costs 14,000
What is the cost of direct materials put into production during the period? By
what amount will retained earnings increase (assuming no taxes or
dividends)?
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Exercice (1)
The Huffer Manufacturing Company manufacture rubber rafts. For the
month of January, it incurred the following costs:
Materials …………….. $ 10,000 (80% for direct materials)
Labor …………………. .5,000 (70% for direct labor)
Factory overhead ….. ...... 5,000 (for heat, light, and power)

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In addition to the costs of production, the company incurred selling
expenses of $7,500 and general administrative expenses of $ 8,500
Required: company the cost of goods manufactured and the total costs.
Exercise (2)
The following information relates to the comfy water Bed Manufacturing
Company: At the beginning of the period, there was $50,000 in work-in-
process inventory. During the year Comfy incurred costs of $ 17,200 for
direct materials, $15,700 for direct labor, and $32,100 for factory
overhead (heat, light, and power).At the end of the period, there was
work-in-process inventory of $ 40,000.
Required: compute the cost of goods manufactured for the comfy water Bed
Manufacturing Company.
Exercise (3)
In September 2018, the BB Gun Company put into process $60,000
of raw materials (all direct materials). Department A used 15,000 direct
labor hours at a total cost of $40,000, and Department B used 10,500
direct labor hours at a cost of $6 per hour. Factory overhead is applied in
Department A and B at a rate of $ 3.75 and $4.50 per direct labor hour,
respectively. Inventories on September1 were the following: materials,
$20,000; work-in-process $28,200; finished goods, $15,100.
September 30, the inventories were: materials, $18,725; work-in-process,
$24,500; finished goods, $16,500. The company produced 30,000 units
during the month.
Required: Prepare, a combined statement of cost of goods manufactured
and sold.
On