Question 2 | |
Inventory of finished goods at beginning | 20,000 |
Inventory of finished goods at end | 25,000 |
Cost per unit of finished goods from supplier XYZ | $100 |
Total cost of finished goods from supplier XYZ | $24,000 |
Sales price per unit | $150 |
Total revenue from sales | $1,500,000 |
Given the information above, calculate the units produced during the year. | |
Calculations | |
Opening FG | |
Closing FG | |
Purchases | |
Units Sold | |
Units Produced |
Let us first see what information we have from the question -
Opening Inventory of Finished Goods(in units) = 20,000
Closing Inventory of Finished Goods(in units) = 25,000
Goods purchased from Supplier XYZ = $24,000 where unit price paid per unit is $100, So units purchased from supplier would be $24,000 / $100 = 240 units were purchased from supplier XYZ.
Total Revenue from Sales = $1,500,000 where selling price per unit is $150 per unit.
So Units sold = $1,500,000 / $150 = 10,000 units were sold during the year.
As per standard formula, Sales = Opening Inventory + Purchases + Units Produced(Manufactured) - Closing Inventory
Using the above formula to calculate the Units produced during the year -
10,000 = 20,000 + 240 + Units Produced - 25,000
Units Produced = 14,760 units.
So 14,760 units were produced during the year.
Description | Inventory(in units) |
Opening FG | 20,000 |
Closing FG | 25,000 |
Purchases | 240 |
Units Sold | 10,000 |
Units Produced | 14,760 |
Hope it is clear.
Thank you
Question 2 Inventory of finished goods at beginning 20,000 Inventory of finished goods at end 25,000...
finished goods inventory budget Ending Finished Goods inventory Budget Item Quanity Cost Total pounds production cost per case direct materials direct labor manufacturing over head unit product cost Ending Finished Goods inventory Budget Item Quanity Cost Total pounds production cost per case direct materials direct labor manufacturing over head unit product cost Budgeted finished goods inventory: ending finished goods inventory in cases unit product cost endine finished poods inventory in dollars Desired ending FG inventory at year end 12,000 cases...
Question 3 Details of costs and inventory balances at the end of a production period are as follows: Total production costs $2,000,000 Opening finished goods 120,000 Units sold 370,000 Closing finished goods 150,000 Percentage of product costs that are prime costs 70% Percentage of conversion costs that are direct labour 60% Calculate the following: Calculations Number of units produced during the period Product cost per unit Direct material per unit Direct labour per unit Factory overhead per unit
Question 1 Sales of finished goods by a business for the year ended 30 June 2018 were $240,000, the selling price showing a mark-up of 50% on cost. The finished goods inventory as at 1 July 2017, valued at cost, was $60,000 and at 30 June 2018 was $10,000. What was the cost of goods manufactured for the year ended 30th June 2018? Calculations Opening FG Closing FG COGS COGM Please provide full explanations and solution. Thanks!
Various cost and sales data for Meriwell Company for the just-completed year follow: Finished goods inventory, beginning $ 25,000 Finished goods inventory, ending 50,000 Depreciation, factory 19,000 Administrative expenses 105,000 Utilities, factory 7,000 Maintenance, factory 55,000 Supplies, factory 12,000 Insurance, factory 3,600 Purchases of raw materials 130,000 Raw materials inventory, beginning 9,000 Raw materials inventory, ending 6,000 Direct labour 75,000 Indirect labour 18,000 Work-in-process inventory, beginning 22,000 Work-in-process inventory, ending 24,000 Sales 525,000 Selling expenses 74,000 Required: 1. Prepare...
Beginning finished goods inventory Beginning work in process inventory Beginning raw materials inventory (direct materials) Rental cost on factory equipment Direct labor Ending finished goods inventory Ending work in process inventory Ending raw materials inventory Factory utilities Factory supplies used (indirect materials) General and administrative expenses Indirect labor Repairs-Factory equipment Raw materials purchases Selling expenses Sales Cash Factory equipment, net Accounts receivable, net Garcon Company $ 13,400 16,000 7,700 32,250 23,600 20,900 26, 200 5,500 10,500 9,700 28,500 2,100 4,700...
Shadee Corp. expects to sell 590 sun visors in May and 310 in June. Each visor sells for $21. Shadee’s beginning and ending finished goods inventories for May are 75 and 40 units, respectively. Ending finished goods inventory for June will be 55 units.E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-3g]Each visor requires a total of $4.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $2.00 each....
Shadee Corp. expects to sell 590 sun visors in May and 310 in June. Each visor sells for $21. Shadee’s beginning and ending finished goods inventories for May are 75 and 40 units, respectively. Ending finished goods inventory for June will be 55 units.E8-8 (Algo) Preparing Cost of Goods Sold Budget [LO 8-3f]Each visor requires a total of $4.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $2.00 each....
Beginning 20,000 work in process inventory materials used Plus: Direct Beginning raw materials inventory Purchases of materials 51,000 Available for use 77,000 (26,000) Ending raw materials inventory Direct materials used Direct labor 49,000 costs 173,000 Manufacturing overhead Total manufacturing incurred during the month Total manufacturing to account for Less: Ending work in process inventory Cost of goods manufactured costs (21,000) Elly Manufacturing Company Income Statement Month Ended June 30 Sales revenue Cost of goods sold: Beginning finished goods inventory Cost...
(4), (5) You are given the following information concerning inventory movements in a firm for April as recorded in the General Ledger. [Note: You may perform calculations below. Workings in your answer book are not required for these parts.] RAW MATERIALS 7,000 1/4 Opening Balance Creditors (-Purchases) 1/5 Balance c/d (next month) Work in Progress 30/4 Closing Balance 12.000 12,000 WORK IN PROGRESS 1/4 Opening Balance Raw materials Direct Labour Overhead Applied 1/5 Balance c/d (next month) Finished Goods 24,000...
Sales Raw materials inventory, beginning Work in process inventory, beginning Finished goods inventory, beginning Raw materials purchases Direct labor Factory supplies used (indirect materials) Indirect labor Repairs-Factory equipment Rent cost of factory building Advertising expense General and administrative expenses Raw materials inventory, ending Work in process inventory, ending Finished goods inventory, ending $ 1,115,000 36,000 51,600 67,500 158,200 235,000 22, 200 45,000 5,250 57,000 90,000 141,000 48,300 42,400 74,500 DELRAY MFG. Schedule of Cost of Goods Manufactured For Year Ended...