Fundamentals of Cost Accounting
5th Edition
ISBN: 9781259565403
Author: William N. Lanen Professor, Shannon Anderson Associate Professor, Michael W Maher
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 2, Problem 59P
Prepare Statements for a Manufacturing Company
The administrative offices and manufacturing plant of Billings Tool & Die share the same building. The following information (in $000s) appears in the accounting records for last year:
Required
Prepare an income statement with a supporting cost of goods sold statement.
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The following cost and inventory data for the just completed year are taken from the
accounting records of Eccles Company:
Costs incurred:
Advertising expense.
Direct labor cost....
Purchases of raw materials.
Rent, factory building.
Indirect labor...
Sales commissions.
Utilities, factory....
Maintenance, factory equipment...
Supplies, factory.....
Depreciation, office equipment..
Depreciation, factory equipment.
Beginning of Year End of Year
Inventories:
Raw Materials $8,000 $10,000
Work in Process $5,000 $20,000
Finished Goods $70,000 $25,000
.$100,000
$90,000
$132,000
. $80,000
$56,300
. $35,000
.$9,000
... $24,000
$700
$8,000
.. $40,000
Required:
1. Prepare a schedule of cost of goods manufactured.
2. Prepare the cost of goods sold section of Eccles Company.
Cost of Goods Sold, Profit margin, and Net Income for a
Manufacturing Company
The following information is available for Bandera
Manufacturing Company for the month ending January 31:
Cost of goods manufactured
elling expenses
dministrative expenses
ales
inished goods inventory, January 1
inished goods inventory, January 31
. For the month ended January 31, determine Bandera
Manufacturing's cost of goods sold.
Bandera Manufacturing
Company
Cost of Goods Sold
January 31
. For the month ended January 31, determine Bandera
Manufacturing's gross profit.
Bandera Manufacturing
Company
Gross Profit
January 31
. For the month ended January 31, determine Bandera
Manufacturing's net income.
Bandera Manufacturing
Company
Net Income
January 31
$167,280
55,880
29,540
355,910
40,220
36,660
Operating expenses:
Total operating expenses
100
Cost of Goods Sold, Profit margin, and Net Income for a Manufacturing Company
The following information is available for Aricanly Manufacturing Company for the month ending January 31:
Cost of goods manufactured
Selling expenses
Administrative expenses
Sales
Finished goods inventory, January 1
Finished goods inventory, January 31
a. For the month ended January 31, determine Aricanly's cost of goods sold.
Aricanly Manufacturing
Company
Cost of Goods Sold
January 31
b. For the month ended January 31, determine Aricanly's gross profit.
Aricanly Manufacturing
Company
Gross Profit
January 31
$277,220
92,600
48,960
589,840
66,650
60,750
c. For the month ended January 31, determine Aricanly's net income.
Aricanly Manufacturing Company
Net Income
January 31
Operating expenses:
Total operating expenses
Chapter 2 Solutions
Fundamentals of Cost Accounting
Ch. 2 - What is the difference in meaning between the...Ch. 2 - What is the difference between product costs and...Ch. 2 - What is the difference between outlay cost and...Ch. 2 - Prob. 4RQCh. 2 - Is cost-of-goods sold an expense?Ch. 2 - Is cost-of-goods a product cost or a period cost?Ch. 2 - What are the similarities between the Direct...Ch. 2 - What are the three categories of product cost in a...Ch. 2 - Prob. 9RQCh. 2 - Prob. 10RQ
Ch. 2 - What do the terms step costs and semivariable...Ch. 2 - What do the terms variable costs and fixed costs...Ch. 2 - How does a value income statement differ from a...Ch. 2 - Why is a value income statement useful to...Ch. 2 - Materials and labor are always direct costs, and...Ch. 2 - Prob. 16CADQCh. 2 - In evaluating product profitability, we can ignore...Ch. 2 - Prob. 18CADQCh. 2 - The friend in question 2-18 decides that she does...Ch. 2 - Consider a digital music service such as those...Ch. 2 - Consider a ride-sharing service such as Uber or...Ch. 2 - Pick a unit of a hospital (for example, intensive...Ch. 2 - The dean of Midstate University Business School is...Ch. 2 - Prob. 24CADQCh. 2 - Prob. 25CADQCh. 2 - Basic Concepts For each of the following...Ch. 2 - Basic Concepts For each of the following costs...Ch. 2 - Basic Concepts For each of the following costs...Ch. 2 - Basic Concepts Place the number of the appropriate...Ch. 2 - Basic Concepts For each of the following costs...Ch. 2 - Basic Concepts The following data apply to the...Ch. 2 - Basic Concepts Intercontinental, Inc., provides...Ch. 2 - Cost AllocationEthical Issues In one of its...Ch. 2 - Cost AllocationEthical Issues Star Buck, a coffee...Ch. 2 - Prepare Statements for a Manufacturing Company The...Ch. 2 - Prepare Statements for a Service Company Chucks...Ch. 2 - Prepare Statements for a Service Company Where2...Ch. 2 - Prepare Statements for a Service Company The...Ch. 2 - Prepare Statements for a Service Company Lead!...Ch. 2 - Prepare Statements for a Manufacturing Company The...Ch. 2 - Basic Concepts The following data refer to one...Ch. 2 - Basic Concepts The following data refers to one...Ch. 2 - Prepare Statements for a Merchandising Company The...Ch. 2 - Prepare Statements for a Merchandising Company...Ch. 2 - Cost Behavior and Forecasting Dayton, Inc....Ch. 2 - Components of Full Costs Madrid Corporation has...Ch. 2 - Prob. 47ECh. 2 - Components of Full Costs Larcker Manufacturings...Ch. 2 - Gross Margin and Contribution Margin Income...Ch. 2 - Gross Margin and Contribution Margin Income...Ch. 2 - Gross Margin and Contribution Margin Income...Ch. 2 - Value Income Statement Ralphs Restaurant has the...Ch. 2 - Value Income Statement DeLuxe Limo Service has the...Ch. 2 - Cost Concepts The following information comes from...Ch. 2 - Cost Concepts The controller at Lawrence...Ch. 2 - Cost Concepts Columbia Products produced and sold...Ch. 2 - Prepare Statements for a Manufacturing Company...Ch. 2 - Prepare Statements for a Manufacturing Company...Ch. 2 - Prepare Statements for a Manufacturing Company The...Ch. 2 - Cost Allocation with Cost Flow Diagram Coastal...Ch. 2 - Cost Allocation with Cost Flow Diagram Wayne...Ch. 2 - Cost Allocation with Cost Flow Diagram The library...Ch. 2 - Find the Unknown Information After a computer...Ch. 2 - Find the Unknown Information Just before class...Ch. 2 - Cost Allocation and Regulated Prices The City of...Ch. 2 - Reconstruct Financial Statements San Ysidro...Ch. 2 - Finding Unknowns Marys Mugs produces and sells...Ch. 2 - Finding Unknowns BST Partners has developed a new...
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