Homer Inc Had the following activities during 2012 DIRECT MATERIALS Beginning inventory $ 20,000 Purchases 61,600 Ending inventory 10,400 Direct manufacturing labor 16,000 Manufacturing overhead 12,000 Selling and administrative expenses 10,000 Beginning work in process inventory 800 Ending work in...

A The cost of direct material used beginning inventory purchases ...

Homer Inc. Had the following activities during 2012: DIRECT MATERIALS: Beginning inventory ............. $ 20,000 Purchases ................

Question:

Homer Inc. Had the following activities during 2012:
DIRECT MATERIALS:
Beginning inventory ............. $ 20,000
Purchases ................ 61,600
............. 10,400
Direct manufacturing labor ......... 16,000
Manufacturing overhead .......... 12,000
Selling and administrative expenses ...... 10,000
Beginning work-in-process inventory ....... 800
Ending work-in-process inventory ...... 4,000
Beginning finished goods inventory ...... 24,000
Ending finished goods inventory ........ 16,000
Units produced .............. 100

Required:
A. What is the cost of direct materials used during 2012?
B. What is cost of goods manufactured for 2012?
C. What is cost of goods sold for 2012?
D. What amount of prime costs was added to production during 2012?
E. What amount of conversion costs was added to production during 2012?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...