QuestionQuestion

The cost of goods sold for the Tricky Corporation for the month of June 2013 was $450,000.
Work-in-process inventory at the end of June was 95 percent of the work-in-process inventory at the beginning of the month.
Overhead is 80 percent of the direct labor cost. During the month, $110,000 of direct materials were purchased.
Revenues for Tricky were $600,000, and the selling and administrative costs were $70,000.
Other information about Tricky's inventories and production for June was as follows:
Ending inventories - June 30
Direct materials $19,000
Work in process ?
Finished goods $105,000
Beginning inventories - June 1
Direct materials $22,200
Work in process $40,000
Finished goods $208,500

a) Prepare a cost of goods manufactured and cost of goods sold statements.
b) Prepare an income statement.
c) What are the prime costs, conversion costs, and period costs?

Solution PreviewSolution Preview

This material may consist of step-by-step explanations on how to solve a problem or examples of proper writing, including the use of citations, references, bibliographies, and formatting. This material is made available for the sole purpose of studying and learning - misuse is strictly forbidden.

Cost of Goods Manufactured

DM Used
Beginning Materials Inventory 22,200.00
Add: Purchases 110,000.00
Total raw Materials Available for use 132,200.00
Less Ending Materials Inventory (19,000.00)
Total raw Materials USED 113,200.00...
$30.00 for this solution

PayPal, G Pay, ApplePay, Amazon Pay, and all major credit cards accepted.

Find A Tutor

View available Accounting Tutors

Get College Homework Help.

Are you sure you don't want to upload any files?

Fast tutor response requires as much info as possible.

Decision:
Upload a file
Continue without uploading

SUBMIT YOUR HOMEWORK
We couldn't find that subject.
Please select the best match from the list below.

We'll send you an email right away. If it's not in your inbox, check your spam folder.

  • 1
  • 2
  • 3
Live Chats