Question

Tierney Company begins operations on April 1. Information from job cost sheets shows the following.

		Manufacturing Costs Assigned
Job Number		April		May		June		Month Completed
10		$7,100		$6,400				May
11		5,900		5,900		$3,300		June
12		1,500						April
13				6,500		6,100		June
14				6,800		4,000		Not complete

Job 12 was completed in April. Job 10 was completed in May. Jobs 11 and 13 were completed in June. Each job was sold for 25% above its cost in the month following completion.

(a)

• Your Answer
• Correct Answer (Used)

What is the balance in Work in Process Inventory at the end of each month?

		Work in Process Inventory
April 30		$
May 31		$
June 30		$

(b)

What is the balance in Finished Goods Inventory at the end of each month?

		Finished Goods Inventory
April 30		$
May 31		$
June 30		$

c. what is the gross profit for each month?

Answer 1

a.)		Work in Process Inventory		Job
	Apr-30	$ 13,000	=7100+5900	10 & 11
	May-31	$ 25,100	=5900+5900+6500+6800	11,13 & 14
	Jun-30	$ 10,800	=6800+4000	14
b.)		Finished Goods Inventory		Job
	Apr-30	$ 1,500		12
	May-31	$ 13,500	=7100+6400	10
	Jun-30	$ 27,700	=5900+5900+3300+6500+6100	11 & 13
c.)		Gross Profit		Job
	Apr-30	-
	May-31	$ 375	=1500*25%	12
	Jun-30	$ 3,375	=13500*25%	10
	Jul-31	$ 6,925	=27700*25%	11 & 13