Question

Requirement 4 Only.

hool unswic Read the requirements Requirement 1. For a manufacturing company, identify the following as either a product costor a period cost > Product costa. Depreciation on plant equipment Period costb. Depreciation on salespersons' automobiles Product costc. Insurance on plant building Period cost d. Marketing manager's salary Product coste. Direct materials used Product cost f. Manufacturing overhead Period cost 9. Electricity bill for human resources office Product costh. Production employee Lagos Incorre (0/3) 0/1) Requirement 2. Show how to compute cost of goods manufactured. Use the following amounts: direct materials used, $18,000, direct labor, $12,000; manufacturing overhead, $20,000; beginning Work in Process Inventory, $18,500, and ending Work in Process Inventory, $8,000. Cost of Goods Manufactured Beginning Work-in-Process Inventory 18.00 Direct Materials Used 18,000 Direct Labor 12,000 Manufacturing Overhead 20,000 Band 50,000 Choose from any list or enter any number in the input fields and then click Check Answer All கமாக shnuirin javascript.doExercise (7) Clear All Final Check

Answer 1

Requirement 2

Requirement 2 Calculation of Cost of Goods Manufactured Direct Material Direct labor Prime Cost Add: Manufacturing Overhead Add: Begnning WIP Less : Closing WIP Cost of Goods Manufactured (in $) 18,000 12,000 30,000 20,000 18,500 -8,000 60,500

Requirement 3

Cost per Unit of goods manufactured = Cost of goods manufactured / Number of units

= 60,500 / 1100 = $55

Requirement 4

Beginning Finished goods of Inventory = 6110 (130 * $47)

Add: Cost of goods manufactured = 1,100 (20*$55)

Cost of Goods available for sale 7,210

Less: Ending finished goods inventory 7210 (130*$47 + 20*$55)