Compute the Cost of Goods Sold for 2020 of Pillows Company considering the following information: Raw materials purchased was P2,500,000 with freight-in of P120,000 Purchase returns was P50,000 and purchase discount is 60% of purchase returns Raw materials beginning was P460,000 Raw materials end was P40,000 more than the beginning inventory Direct labor is P1,000,000 Factory overhead is 50% of direct labor Total goods placed in process is 150% of manufacturing cost WIP, end is 75% of WIP, beg Finished goods beginning balance is lesser by P100,000 than the ending balance which was P600,000
Compute the Cost of Goods Sold for 2020 of Pillows Company considering the following information: Raw materials purchased was P2,500,000 with freight-in of P120,000 Purchase returns was P50,000 and purchase discount is 60% of purchase returns Raw materials beginning was P460,000 Raw materials end was P40,000 more than the beginning inventory Direct labor is P1,000,000 Factory overhead is 50% of direct labor Total goods placed in process is 150% of manufacturing cost WIP, end is 75% of WIP, beg Finished goods beginning balance is lesser by P100,000 than the ending balance which was P600,000
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter2: Basic Managerial Accounting Concepts
Section: Chapter Questions
Problem 39E: Cost Classification Loring Company incurred the following costs last year: Required: 1. Classify...
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Problem 12
Compute the Cost of Goods Sold for 2020 of Pillows Company considering the following
information:
Raw materials purchased was P2,500,000 with freight-in of P120,000
Purchase returns was P50,000 and purchase discount is 60% of purchase returns
Raw materials beginning was P460,000
Raw materials end was P40,000 more than the beginning inventory
Direct labor is P1,000,000
Factory overhead is 50% of direct labor
Total goods placed in process is 150% of
WIP, end is 75% of WIP, beg
Finished goods beginning balance is lesser by P100,000 than the ending balance which
was P600,000
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