Question

Your answer is partially correct. Try again Indicate the missing amount for each letter Case 1 2 Direct materials used $9,890 3360 (g) $ Direct labor 5,670 8,450 Manufacturing overhead 8,640 5,100 Total manufacturing costs 24200 16,910 Beginning work in process inventory 1,370 9240 (h) Ending work in process inventory 3,750 7740 |(b) Sales revenue 25,110 29960 Sales discounts 2,770 1,990 17,830 22,400 Cost of goods manufactured Beginning finished goods inventory 3,590 4910 (c) Goods available for sale 22,740 25990 Cost of goods sold 22620 18540 (d) |(k) Ending finished goods inventory 3,370 4,200 Gross profit 7,340 6570 Operating expenses 2,810 1760 (I) Net income 5,580 3760 (f) Your answer is partially correct. Try again. Prepare a condensed cost of goods manufactured schedule for Case 1. CASE 1 Cost of Goods Manufactured Schedule Work in Process Inventory, Beginning 1370 9890 Direct Materials 5670 Direct Labor 8640 Manufacturing Overhead Total Manufacturing Costs 24200 Total Cost of Work in Process 25570 Work in Process Inventory, Ending 7740 Less 17830 Cost of Goods Manufactured PE Your answer is partially correct. Try again. Prepare an income statement for Case 1 CASE 1 Income Statement 27880 Sales Revenue Less Sales Discounts 2770 25110 Net Sales Cost of Goods Sold Cost of Goods Manufactured 17830 x Finished Goods Inventory, Beginning * 4910 Cost of Goods Available for Sale 22740 Finished Goods Inventory, Ending Less 4200 18540 Cost of Goods Sold Gross Profit 6570 2810 Operating Expenses 3760 Net Income / (Loss) Prepare the current assets section of the balance sheet for Case 1. Assume that in Case 1 the other items Materials $620, and Prepaid Expenses $430. (List Current Assets in order of liquidity.) the current assets section are as follows: Cash $4,070, Receivables (net) $15,910, Raw CASE 1 (Partial) Balance Sheet Current Assets x Receivables 15910 430 Prepaid Expenses Inventories 620 Raw Materials 7740 Work in Process 4200 Finished Goods 12560 4070 Cash 32970 Total Current Assets Open Show Work Click if you would like to Show Work for this question:

Answer 1

Answer a.

Case 1:

Net sales = Sales revenue - Sales discounts
Net sales = $25,110 - $2,770
Net sales = $22,340

Gross profit = Net sales - Cost of goods sold
Gross profit = $22,340 - $18,540
Gross profit = $3,800

Net income = Gross profit - Operating expenses
Net income = $3,800 - $2,810
Net income = $990

Case 2:

Gross profit = Net sales - Cost of goods sold
$7,340 = Net sales - $22,620
Net sales = $29,960

Net sales = Sales revenue - Sales discounts
$29,960 = Sales revenue - $1,990
Sales revenue = $31,950

Answer b.

Case 1 Cost of Goods Manufactured Schedule Work in process inventory, beginning Direct materials 1,370 9,890 Direct labor 5,670 Manufacturing overhead Total manufacturing costs Total costs of work in process 8,640 24,200 25,570 Work in process inventory, ending Cost of goods manufactured Less: 7,740 17,830 Case 1 Income Statement Sales revenue 25,110 Less: Sales discounts 2,770 Net sales 22,340 Cost of goods sold: Finished goods inventory, beginning Cost of goods manufactured Cost of goods available for sale Less: Finished goods inventory, ending Cost of goods sold Gross profit 4,910 17,830 22,740 4,200 18,540 3,800 Operating expenses Net income / (loss) 2,810 990

Case 1 (Partial) Balance Sheet Current a ssets Cash 4,070 Receivable (net) Inventories: Raw materials Work in process Finished goods Prepaid expenses Total current assets 15,910 620 7,740 4,200 $ 12,560 430 32,970