Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of May: 1 Rainier Company Yakima Company 2 Materials inventory, May 1 $281,960.00 $179,000.00 3 Materials inventory, May 31 (a) 178,000.00 4 Materials purchased 712,200.00 341,200.00 5 Cost of direct materials used in production 751,600.00 (a) 6 Direct labor 1,059,200.00 (b) 7 Factory overhead 325,800.00 180,400.00 8 Total manufacturing costs incurred in May (b) 1,032,000.00 9 Total manufacturing costs 2,677,600.00 1,475,500.00 10 Work in process inventory, May 1 541,000.00 443,500.00 11 Work in process inventory, May 31 452,000.00 (c) 12 Cost of goods manufactured (c) 1,025,500.00 13 Finished goods inventory, May 1 478,200.00 205,000.00 14 Finished goods inventory, May 31 495,400.00 (d) 15 Sales 4,144,000.00 1,671,000.00 16 Cost of goods sold (d) 1,053,500.00 17 Gross profit (e) (e) 18 Operating expenses 545,000.00 (f) 19 Net income (f) 382,900.00 Required: a. Determine the amounts of the missing items, identifying them by letter. b. Prepare Yakima Company’s statement of cost of goods manufactured for May. c. Prepare Yakima Company’s income statement for May.
Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of May: 1 Rainier Company Yakima Company 2 Materials inventory, May 1 $281,960.00 $179,000.00 3 Materials inventory, May 31 (a) 178,000.00 4 Materials purchased 712,200.00 341,200.00 5 Cost of direct materials used in production 751,600.00 (a) 6 Direct labor 1,059,200.00 (b) 7 Factory overhead 325,800.00 180,400.00 8 Total manufacturing costs incurred in May (b) 1,032,000.00 9 Total manufacturing costs 2,677,600.00 1,475,500.00 10 Work in process inventory, May 1 541,000.00 443,500.00 11 Work in process inventory, May 31 452,000.00 (c) 12 Cost of goods manufactured (c) 1,025,500.00 13 Finished goods inventory, May 1 478,200.00 205,000.00 14 Finished goods inventory, May 31 495,400.00 (d) 15 Sales 4,144,000.00 1,671,000.00 16 Cost of goods sold (d) 1,053,500.00 17 Gross profit (e) (e) 18 Operating expenses 545,000.00 (f) 19 Net income (f) 382,900.00 Required: a. Determine the amounts of the missing items, identifying them by letter. b. Prepare Yakima Company’s statement of cost of goods manufactured for May. c. Prepare Yakima Company’s income statement for May.
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter1: Introduction To Managerial Accounting
Section: Chapter Questions
Problem 4PB: Several items are omitted from the income statement and cost of goods manufactured statement data...
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Question
Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies for the month of May:
1
|
|
Rainier Company
|
Yakima Company
|
2
|
Materials inventory, May 1
|
$281,960.00
|
$179,000.00
|
3
|
Materials inventory, May 31
|
(a)
|
178,000.00
|
4
|
Materials purchased
|
712,200.00
|
341,200.00
|
5
|
Cost of direct materials used in production
|
751,600.00
|
(a)
|
6
|
Direct labor
|
1,059,200.00
|
(b)
|
7
|
Factory overhead
|
325,800.00
|
180,400.00
|
8
|
Total
|
(b)
|
1,032,000.00
|
9
|
Total manufacturing costs
|
2,677,600.00
|
1,475,500.00
|
10
|
Work in process inventory, May 1
|
541,000.00
|
443,500.00
|
11
|
Work in process inventory, May 31
|
452,000.00
|
(c)
|
12
|
Cost of goods manufactured
|
(c)
|
1,025,500.00
|
13
|
Finished goods inventory, May 1
|
478,200.00
|
205,000.00
|
14
|
Finished goods inventory, May 31
|
495,400.00
|
(d)
|
15
|
Sales
|
4,144,000.00
|
1,671,000.00
|
16
|
Cost of goods sold
|
(d)
|
1,053,500.00
|
17
|
Gross profit
|
(e)
|
(e)
|
18
|
Operating expenses
|
545,000.00
|
(f)
|
19
|
Net income
|
(f)
|
382,900.00
|
Required: | |
a. Determine the amounts of the missing items, identifying them by letter. | |
b. Prepare Yakima Company’s statement of cost of goods manufactured for May. | |
c. Prepare Yakima Company’s income statement for May. |
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