Example 5 (Income Statement): De Facto Company's Inventory Conditions are as follows: NOV 1 Nov 30...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Example 5 (Income Statement): De Facto Company's Inventory Conditions are as follows: NOV 1 Nov 30 42.000 $ 28.000 $ 96.000 $ 80.000 $ 58.000 $ 57.000 $ Raw Material Inventory W-1-P Inventory Finished Goods Inventory During November, following transactions occured as follows: Purchase of raw materials in cash 32.000 $ Total Payroll in November is 105.000$. 80.000$ of it, is direct labor, whereas 25.000$ belongs to advertising expenses. 3 Total Utilities in November is 7.000$. 4000 $of it, is the heat &light of production plant, whereas 3.000 belongs to utilities of headquarters building. 4 Total Rents in November is 16.000 $. 10.000$ of it, is paid for production plant, where as 6.000 $ is paid for headquarters building. Raw Materials, which cost 13.000$, is transferred to W-I-P Inventory. W-1-P Materials, which cost 25.000 $, is transferred to Finished Goods Inventory. Total Sales in November is 260.000$; 200.000 $ in cash, 60.000 $ will be paid later. i) Do the journal entries for November II) Find the cost of raw materials used during November (Raw. Mat, Inv.) i) Find the cost of W-1-P Inventory during November [v) Find the cost of Finished Goods Inventory during November v) Calculate the Net Income (Income befor taxes at the end of November) Example 5 (Income Statement): De Facto Company's Inventory Conditions are as follows: NOV 1 Nov 30 42.000 $ 28.000 $ 96.000 $ 80.000 $ 58.000 $ 57.000 $ Raw Material Inventory W-1-P Inventory Finished Goods Inventory During November, following transactions occured as follows: Purchase of raw materials in cash 32.000 $ Total Payroll in November is 105.000$. 80.000$ of it, is direct labor, whereas 25.000$ belongs to advertising expenses. 3 Total Utilities in November is 7.000$. 4000 $of it, is the heat &light of production plant, whereas 3.000 belongs to utilities of headquarters building. 4 Total Rents in November is 16.000 $. 10.000$ of it, is paid for production plant, where as 6.000 $ is paid for headquarters building. Raw Materials, which cost 13.000$, is transferred to W-I-P Inventory. W-1-P Materials, which cost 25.000 $, is transferred to Finished Goods Inventory. Total Sales in November is 260.000$; 200.000 $ in cash, 60.000 $ will be paid later. i) Do the journal entries for November II) Find the cost of raw materials used during November (Raw. Mat, Inv.) i) Find the cost of W-1-P Inventory during November [v) Find the cost of Finished Goods Inventory during November v) Calculate the Net Income (Income befor taxes at the end of November)
Expert Answer:
Answer rating: 100% (QA)
To address the questions related to De Facto Companys inventory conditions and transactions in November we can derive the necessary information from t... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-6. On December 12, Irene purchased the building where her store is located. She paid...
-
Ir Snip MB MBA MBB MBC MBD MBE a. A community of five individuals; Ali, Boy, Chia, Doc and Ed is planning to provide street lighting in their neighborhood. The marginal cost of providing the lighting...
-
Spencer Electronics has just developed a low-end electronic calendar that it plans to sell via a cable channel marketing program. The cable program's fee for selling the item is 20 percent of...
-
Discuss wireless local area networks, which are thought by many in the IT industry to be inherently insecure. Without some form of protection, these signals can be intercepted by anyone with a...
-
Reconsider the data from Problem 4. Management has expressed some concern over the life of the project and the impact of possible early termination. As a result, you have developed additional data...
-
Stahl Inc. produces three separate products from a common process costing $100,000. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher...
-
How to create a relational model from DDL statements and how you save a relational model design.?
-
Poindexter claims that the real cheating occurs when we increase power by increasing the likelihood that results will be significant. He reasons that if we are more likely to reject H 0 , then we are...
-
Scott Company's variable expenses are 72% of sales. The company's break-even point in sales is $3,000,000. If sales are $50,000 below the break-even point, what operating loss would the company...
-
Examine how the following factors could impact the operations and processes in the BioTech Africa warehouse?
-
There are several factors influencing warehouse operations. Advise Takealot on the importance of considering the levels of automation and information technology functionality when designing and...
-
3 Examine the failures in internal control at RX Bhd and recommend improvements. 4 Explain, with reference to the case, the factors that are typically considered when deciding to establish internal...
-
Explore and analysis how team performance targets are arrived at, considering the factors that effect and influence required team performance levels, compare and contrast current team performance...
-
What is the Sydney Water Section 73 Compliance Certificate, and why is needed? Sydney Water categorizes construction works for developments as either major works or minor works - What does this mean...
-
A SCR has gate characteristics given by Vg = 91g +10 The gate signal is a triggering pulse of amplitude 30V and duly ratio of 0.4. average gate power dissipated 0.6 W. in the figure below ,that...
-
A survey of 70 college freshmen asked whether students planned to take biology, chemistry, or physics during their first year. Use the diagram to answer each question. How many of the surveyed...
-
Nearly one-half of recent mortgage foreclosure victims obtained their loans from socalled subprime lenders that became dominant forces within the mortgage industry during the past two decades. The...
-
Discipline, honesty, and a strong work ethic were three key traits that John and Mary Andersen instilled in their son. The Andersens also constantly impressed upon him the importance of obtaining an...
-
Imagine this scenario. A few years after graduating from Boston College, Florida Gulf Coast University, or the University of North Texas with an accounting degree, you find yourself working as an...
-
The IT implementation project is bogging down and falling behind schedule. The department heads are complaining that the project cannot help them if it is not implemented in a reasonable time frame....
-
This isnt what I need! objected the admissions officer at Northwest Regional Hospital. Judy sighed, But this is the software you asked us to create for you. I dont care what I said at the time, this...
-
Assume the network diagram shown in Figure 11.19. Megan is responsible for activities A and C. Use the critical chain methodology to resource-level the network. What are two options for redrawing the...
Study smarter with the SolutionInn App