The Just in Time operating system with backflush pricing is used by Johnson Textiles Company. The completed job in July used direct materials worth $500,000 and conversion costs at $70,000. 200,000 dollars were allocated to the inventory account for work-in-progress at the conclusion of the month. The closing balance of the finished products inventory was 230,000. Needed: Calculate the upcoming a. Amount added to the cost of the products sold. b. Final cost of goods sold
The Just in Time operating system with backflush pricing is used by Johnson Textiles Company. The completed job in July used direct materials worth $500,000 and conversion costs at $70,000. 200,000 dollars were allocated to the inventory account for work-in-progress at the conclusion of the month. The closing balance of the finished products inventory was 230,000. Needed: Calculate the upcoming a. Amount added to the cost of the products sold. b. Final cost of goods sold
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Just in Time operating system with backflush pricing is used by Johnson Textiles Company. The completed job in July used direct materials worth $500,000 and conversion costs at $70,000.
200,000 dollars were allocated to the inventory account for work-in-progress at the conclusion of the month. The closing balance of the finished products inventory was 230,000.
Needed: Calculate the upcoming
a. Amount added to the cost of the products sold.
b. Final cost of goods sold balance
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