Taffy Corporation sells a number of products to groups that offer educational workshops and seminars. One of
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Question:
Taffy began selling this product early in 20x3, purchasing 12,500 boxes from Executive Supply for $87,500 along with an identical number of pens from Accent Goods. During 20x3, 9,500 of the cases and pens were sent to the Taffy assembly operation where the pen is added. Eighty percent of these boxes were complete as of December 31, and a review of finished goods inventory as of December 31 found 2,600 full boxes in the warehouse. Discussions with vendors revealed that 70 finished kits were used in various company marketing activities throughout the year.
Required:
A. Determine the cost of pencil cases and pens that would appear in Taffy's inventory of raw materials, work in progress, and finished goods as of December 31.
B. Determine the cost of pencil cases and pens that would appear in the company's cost of goods sold for 20x3.
Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
Posted Date: