Question

MANAGERIAL ACCO Weygandt, Managerial Accounting, Se tice Assignment Gradebook ORION Downloadable eTextbook ment LCULATOR FULL SCREEN PRINTER VERSI Exercise 9-13 (Part Level Submission) (Video) Fultz Company has accumulated the following budget data for the year 2020. 1. Sales: 31,360 units, unit selling price $87. 2. Cost of one unit of finished goods: direct materials 1 pound at $5 per pound, direct labor 3 hours at $10 per hour, and manufacturing overhead $8 per direct labor hour. 3. Inventories (raw materials only): beginning, 10,360 pounds; ending, 15,500 pounds. 4. Selling and administrative expenses: $170,000; interest expense: $30,000. 5. Income taxes: 30% of income before income taxes. Prepare a schedule showing the computation of cost of goods sold for 2020. FULTZ COMPANY Computation of Cost of Goods Sold Cost of one unit of finished goods: Direct materials Direct labor Manufacturing overhead Total Cost of Goods Sold cy Policy 2000-2019 John Wiley & Song An Binh

Answer 1

Cost of goods sold does not includes selling and administrative expenses.

$5 Direct ci Material found X $5) $39 Direct labor costile (3 howw x $13) $24 Manufacturing overhead (3 hours x $8) ooo 7 cost of one unit of finished goods. $ 68 T Units sold 31,360 units * sold $2132,480 cost of gooels ( 31,360 X $ 68)