Please correct if u see a mistake On Off Company Company Mat

Please correct if u see a mistake

On Off Company Company Materials inventory, December 1 Materials inventory, December 31 Materials purchased Cost of direct materials used in production Direct labor Factory overhead Total manufacturing costs incurred in December Total manufacturing costs Work in process inventory, December 1 Work in process inventory, December 31 Cost of goods manufactured Finished goods inventory, December 1 Finished goods inventory, December 31 Sales Cost of goods sold Gross profit Operating expenses Net income $58,990 $75,510 (a) 85,330 149,830 158,090 222,390 169,900 69,020 84,570 (b) 488,550 562,760 670,530 113,260 181,980 95,560 (c) 484,020 99,690 84,570 104,410 869,510 755,100 (d)488,550 113,260 (f)167,630

Solution

Computation of Missing figures On Company (a) materials Inventory on december 31 =Opening + Purchased- materials used =$58990+$149830-$158090 =$50730 (b) Total manufactring costs incurred in december =materials used +Direct labour+ factory over head =$158090+222390+69020 =$449500 (c ) Cost of goods manufactrured =Work in Process december 1+Total manufactruing costs - Wiork in Process december 31 =$113260+$449500-95560 =$467200 (d) Cost of goods sold = Finished goods december1 +cost of goods manufactured+Finished goods demcember31 =99690+467200-104410 =$462480 ( e) Gross profit =Sales - Cost of goods sold =$869510-$462480 =$407030 (f) net income = gross profit- Operating Expenses =$407030-$113260 =$293770 Off Company (a) materials purchased =Materials used + materials on december 31 - Materials on december1 =$234080+$85330-$75510 =$243900 (b) Cost of direct materilas used in production = Total manufacture costs incurred - Labour costs - facotry over head costs =$488550-$169900-$84570 =$234,080 (c ) Work in process inventory , december 31 = Work in process december1 +Total manufacturing costs - Cost of goods manufactured =$181980+$670530-$484020 =$368490 (d) Finished goods inventory ,december31 =Finished goods december1 + Cost of goods manufactured - Cost of goods sold =$84570+$484020-$488550 =$80040 (e ) Gross profit = Sales - cost of goods sold =$755100-$488550 =$266550 (f) Operating expenses =Gross profit - net income =$266550-$167630=$98920 (1) Missing Items Letter On Company Off Company a $                                                                                    50,730 $              2,43,900 b $                                                                                4,49,500 $              2,34,080 c $                                                                                4,67,200 $              3,68,490 d $                                                                                4,62,480 $                 80,040 e $                                                                                4,07,030 $              2,66,550 f $                                                                                2,93,770 $                 98,920 (2) Preparation on Company Statemetn of Cost of goods manufactured for december On Company Statement of cost of goods manufactured For the month ended december 31 Amount in $ Amount in $ Work in Process, December 1 113260 Direct materials Direct materials Inventory on december 1 58990 Direct materials pourchased 149830 Cost of direct materials Available for use 208820 Less: Direct materials on december 31 50730 Cost of Direct materials Plance d In Production 158090 Direct labour 222390 Factory over head 69020 Total manufacturing costs Incurred During December 449500 Total manufacturing costs 562760 less: Work in process december 31 95560 Cost of goods manufactured 467200 (3) Prepare on company income statement for December On Company income Statement For the month ended december 31 Amount in $ Amount in $ Sales 869510 less: cost of goods sold Finished goods on december 1 99690 cost of goods manufactured 467200 Finished goods available for sale 566890 Finished goods on december 31 104410 Cost of goods sold 462480 Gross profit 407030 Less: Operating Expenses 113260 Net income 293770