# ACCOUNTING

Managerial Accounting 1B

Financial and Managerial Accounting

Chapter 14

1.

Exercise 14-8 Cost of goods sold computation L.O. P1

 Century Merchandising New Homes Manufacturing Beginning inventory Merchandise \$ 250,000 Finished goods \$ 500,000 Cost of purchases 460,000 Cost of goods manufactured 886,000 Ending inventory Merchandise 150,000 Finished goods 144,000

 Compute cost of goods sold for each of these two companies for the year ended December 31, 2011. (Omit the “\$” sign in your response.)

 Cost of goods sold Century Merchandising New Homes Manufacturing

Exercise 14-9 Cost of goods manufactured and cost of goods sold computation L.O. P1, P2

[The following information applies to the questions displayed below.]

 Using the following data,

 Canyon Company Rossings Company Beginning finished goods inventory \$ 14,000 \$ 18,450 Beginning goods in process inventory 16,500 21,950 Beginning raw materials inventory 9,250 11,000 Rental cost on factory equipment 29,000 24,750 Direct labor 21,000 37,000 Ending finished goods inventory 19,650 15,300 Ending goods in process inventory 24,000 18,000 Ending raw materials inventory 7,300 9,200 Factory utilities 11,000 14,000 Factory supplies used 10,200 5,200 General and administrative expenses 23,000 45,000 Indirect labor 3,250 9,660 Repairs—Factory equipment 6,780 3,500 Raw materials purchases 35,000 54,000 Sales salaries 52,000 48,000

 Section Break Difficulty: Hard Exercise 14-9 Cost of goods manufactured and cost of goods sold computation L.O. P1, P2 Learning Objective: 14-P2 Prepare a manufacturing statement and explain its purpose and links to financial statements.

2.

Exercise 14-9 Part 1

 1 Compute the cost of goods manufactured for both Canyon Company and Rossings Company. (Omit the “\$” sign in your response.)

 Canyon Company Rossings Company Cost of goods manufactured

rev: 03-04-11

3.

Exercise 14-9 Part 2

 2 Compute cost of goods sold for both Canyon Company and Rossings Company. (Omit the “\$” sign in your response.)

 Canyon Company Rossings Company Cost of goods sold

4.

Exercise 14-11 Manufacturing statement preparation L.O. P2

 Given the following selected account balances of Randa Company.

 Sales \$ 1,252,000 Raw materials inventory, Dec. 31, 2010 39,000 Goods in process inventory, Dec. 31, 2010 55,900 Finished goods inventory, Dec. 31, 2010 64,750 Raw materials purchases 177,600 Direct labor 227,000 Factory computer supplies used 19,840 Indirect labor 49,000 Repairs—Factory equipment 7,250 Rent cost of factory building 59,000 Advertising expense 96,000 General and administrative expenses 131,300 Raw materials inventory, Dec. 31, 2011 44,700 Goods in process inventory, Dec. 31, 2011 43,500 Finished goods inventory, Dec. 31, 2011 69,300

 Prepare its manufacturing statement for the year ended on December 31, 2011. (Input all amounts as positive values. Omit the “\$” sign in your response.)

5.

Exercise 14-12 Income statement preparation L.O. P2

 Following are the selected account balances of Randa Company:

 Sales \$ 1,252,000 Raw materials inventory, Dec. 31, 2010 39,000 Goods in process inventory, Dec. 31, 2010 55,900 Finished goods inventory, Dec. 31, 2010 64,750 Raw materials purchases 177,600 Direct labor 227,000 Factory computer supplies used 19,840 Indirect labor 49,000 Repairs—Factory equipment 7,250 Rent cost of factory building 59,000 Advertising expense 96,000 General and administrative expenses 131,300 Raw materials inventory, Dec. 31, 2011 44,700 Goods in process inventory, Dec. 31, 2011 43,500 Finished goods inventory, Dec. 31, 2011 69,300

 Prepare an income statement for Randa Company (a manufacturer). Assume that its cost of goods manufactured is \$546,390. (Input all amounts as positive values. Omit the “\$” sign in your response.)

Problem 14-8A Manufacturing and income statements; inventory analysis L.O. P2

[The following information applies to the questions displayed below.]

 The following calendar year-end information is taken from the December 31, 2011, adjusted trial balance and other records of Plaza Company.

 Advertising expense \$ 30,750 Direct labor \$ 677,480 Depreciation expense—Office equipment 9,250 Income taxes expense 235,725 Depreciation expense—Selling equipment 10,600 Indirect labor 58,875 Depreciation expense—Factory equipment 35,550 Miscellaneous production costs 10,425 Factory supervision 104,600 Office salaries expense 65,000 Factory supplies used 9,350 Raw materials purchases 927,000 Factory utilities 35,000 Rent expense—Office space 24,000 Inventories Rent expense—Selling space 28,100 Raw materials, December 31, 2010 168,850 Rent expense—Factory building 78,800 Raw materials, December 31, 2011 184,000 Maintenance expense—Factory equipment 37,400 Goods in process, December 31, 2010 17,700 Sales 4,527,000 Goods in process, December 31, 2011 21,380 Sales discounts 64,500 Finished goods, December 31, 2010 169,350 Sales salaries expense 394,560 Finished goods, December 31, 2011 138,490

 Section Break Problem 14-8A Manufacturing and income statements; inventory analysis L.O. P2

6.

Problem 14-8A Part-1

 Required:

 1 Prepare the company’s 2011 manufacturing statement. (Input all amounts as positive values. Omit the “\$” sign in your response.)

7.

Problem 14-8A Part-2

 2 Prepare the company’s 2011 income statement that reports separate categories for (a) selling expenses and (b) general and administrative expenses. (Input all amounts as positive values. Omit the “\$” sign in your response.)

Order now and get 10% discount on all orders above \$50 now!!The professional are ready and willing handle your assignment.

ORDER NOW »»