FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Suka Tenis Group manufactured 100,000 tennis rackets in 2022 and reported the
following costs:
RM
Sandpaper
32,000 Leasing costs-plant
320,000 Depreciation-equipment
RM
384,000
224,000
Materials handling
Property taxes-
22,400 equipment
32,000
275,200 Fire insurance-equipment
16,000
Coolants & lubricants
Indirect manufacturing labour
Direct manufacturing labour
Direct materials, 1 January
2022
2,176,000
3,136,000
Direct material purchases
Direct materials, 31
December 2022
384,000
275,200
Finished goods, 1 January
2022
672,000 Sales revenue
12,800,000
Finished goods, 31
December 2022
1,280,000 Sales commissions
640,000
Work-in-process, 1 January
2022
96,000 Sales salaries
576,000
Work-in-process, 31
December 2022
480,000
64,000 Advertising costs
800,000
Administration costs
Required:
(i) the amount of direct materials used during 2022?
(ii) the manufacturing costs that were added to Work-in-process during
2022.
(iii) the cost of goods manufactured for 2022.
(iv) the cost of goods sold for 2022.
h) Calculate
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Transcribed Image Text:Suka Tenis Group manufactured 100,000 tennis rackets in 2022 and reported the following costs: RM Sandpaper 32,000 Leasing costs-plant 320,000 Depreciation-equipment RM 384,000 224,000 Materials handling Property taxes- 22,400 equipment 32,000 275,200 Fire insurance-equipment 16,000 Coolants & lubricants Indirect manufacturing labour Direct manufacturing labour Direct materials, 1 January 2022 2,176,000 3,136,000 Direct material purchases Direct materials, 31 December 2022 384,000 275,200 Finished goods, 1 January 2022 672,000 Sales revenue 12,800,000 Finished goods, 31 December 2022 1,280,000 Sales commissions 640,000 Work-in-process, 1 January 2022 96,000 Sales salaries 576,000 Work-in-process, 31 December 2022 480,000 64,000 Advertising costs 800,000 Administration costs Required: (i) the amount of direct materials used during 2022? (ii) the manufacturing costs that were added to Work-in-process during 2022. (iii) the cost of goods manufactured for 2022. (iv) the cost of goods sold for 2022. h) Calculate
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