Question

Please help me. Most of these answers are wrong so if you would show the correct solutions that would be helpful!! Thank you
10 The following data from the just completed year are taken from the accounting records of Mason Company: 3 points Sales Direct labor cost Raw material purchases Selling expenses Administrative expenses Manufacturing overhead applied to work in process Actual manufacturing overhead costs $ 653,000 $ 88,000 $ 138,000 $ 110,000 $ 47,000 $ 225,000 $ 203,000 eBook Inventories Raw materials Work in process Finished goods Beginning $ 8,400 $ 5,400 $ 71,000 Ending $ 10,300 $ 20,300 $ 25,500 Hint Ask Required: 1. Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. 2. Prepare a schedule of cost of goods sold. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. 3. Prepare an income statement. Print References Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials. Mason Company Schedule of Cost of Goods Manufactured $ 8.400 138.000 146,400 10,300 S Direct materials Beginning raw materials inventory Add: Purchases of raw materials : Total raw materials available Less: Ending raw materials inventory Direct materials used in production Direct labor Manufacturing overhead Work in process Total manufacturing costs added to production Total manufacturing costs to account for Less: Ending work in process inventory Cost of goods manufactured 136,100 88,000 225,000 5,400 454,500 454,500 20.300 434,200 $ Required 2 >

Answer 1

Mason Company 1 Schedule of Cost of Goods Manufactured Direct Materials: Beginning Raw materials Inventory $8,400 Add: Raw Material purchases $138,000 Total raw materials available $146,400 Less: Ending Raw Materials Inventory $10,300 Raw Materials Used in production Direct Labor Manufacturing Overhead applied to work in process Total Manufacturing Costs Add: Beginning work in process inventory $136,100 $88,000 $225,000 $449,100 $5,400 $454,500 $20,300 $434,200 Less: Ending work in process inventory Cost of Goods Manufactured 2 Total Manufacturing overhead cost incurred (a) Manufacturing overhead applied (b) Manufacturing overhead overapplied/(underapplied) (b) - (a) Manufacturing overhead was overapplied amounting to $22,000 $203,000 $225,000 $22,000 Mason Company Schedule of Cost of Goods Sold Beginning Finished Goods Inventory Add: Cost of Goods Manufactured Cost of goods available for sale Less: Ending Finished Goods Inventory Unadjusted Cost of Goods Sold Less: Overapplied manufacturing overhead Adjusted Cost of Goods Sold $71,000 $434,200 $505,200 $25,500 $479,700 $22,000 $457,700

3 3 Mason Company Income Statement Particulars Sales Less: Cost of Goods Sold Gross Profit Less: Operating Expenses: Selling expenses Administrative expenses Total operating expense Net Income Amount $653,000 $457,700 $195,300 $110,000 $47,000 $157,000 $38,300