Question

the following shows the Schedule of Direct Materials Used, Cost of Goods Manufactuered, Cost of Goods Sold and Income Statement. Fill in the missing amounts for blanks 11 to 18 below.

STUDENT NAME: QUESTION TWO Student ID The following shows the Schedule of Direct Materials Used, Cost of Goods M actured Cost of Goods Sold and Income Statement. Fill in the missing amounts for blankes 11 to 18 below ...Jl. Beginning inventory, raw material............ Ending investory, raw material... Purchase of raw material $ 90,000 Direct material used...... 100,000 70,000 Direct labour... 250,000 Manufacturing overhead ..... Total manufacturing costs .............. Beginning inventory, work in process............... 520,000 35.000 Ending inventory, work in process ........... 11. ? Cost of goods manufactured .... Beginning inventory, finished goods ............... Cost of goods available for sale .................14. ? 525,000 50,000 Ending inventory, finished goods .................15. ? Cost of goods sold ... ... 545,000 Sales ..... .16. 2 Gross margin.. 255,000 Selling and administrative expenses ........ 17 Income before taxes.. 150.000 Income tax expense..... 40,000 Net income after tax..................

Answer 1

Ans.	Particulars	Amount
	Beginning inventory, raw material	$60,000
	Ending inventory, raw material	$90,000
	Purchase of raw material	$100,000
	Direct materials used	$70,000
	Direct labor	$200,000
	Manufacturing overhead	$250,000
	Total manufacturing costs	$520,000
	Beginning inventory, Work in process	$35,000
	Ending inventory, Work in process	$30,000
	Cost of goods manufactured	$525,000
	Beginning inventory, finished goods	$50,000
	Cost of goods available for sale	$575,000
	Ending inventory, finished goods	$30,000
	Cost of goods sold	$545,000
	Sales	$800,000
	Gross margin	$255,000
	Selling and administrative expenses	$105,000
	Income before taxes	$150,000
	Income tax expense	$40,000
	Net income after tax	$110,000
	*Working Notes:
Ans. 11	Direct materials used	$70,000
	Ending inventory, raw material	$90,000
	Purchase of raw material	-$100,000
	Beginning inventory, raw material	$60,000
Ans. 12	Total manufacturing costs	$520,000
	Direct materials	-$70,000
	Manufacturing overhead	-$250,000
	Direct labor	$200,000
Ans. 13	Total manufacturing costs	$520,000
	Beginning Work in process inventory	$35,000
	Cost of goods manufactured	-$525,000
	Ending Work in process inventory	$30,000
Ans. 14	Beginning finished goods inventory	$50,000
	Cost of goods manufactured	$525,000
	Cost of goods available for sale	$575,000
Ans. 15	Cost of goods available for sale	$575,000
	Cost of goods sold	-$545,000
	Ending finished goods inventory	$30,000
Ans. 16	Cost of goods sold	$545,000
	Gross margin	$255,000
	Sales	$800,000
Ans. 17	Gross margin	$255,000
	Income before taxes	-$150,000
	Selling and administrative expenses	$105,000
Ans. 18	Income before taxes	$150,000
	Income tax expense	-$40,000
	Net income after tax	$110,000