The job order cost sheets for LA Inc. show the following information about special orders for June

Question:

The job order cost sheets for LA Inc. show the following information about special orders for June and July of the current year:

Manufacturing Costs Job Number June July Status of Job JU-688 $15,000 Sold, 7/3 4,500 JU-689 Completed, 6/27 1,900 $3,85


The company prices its jobs to make a 50 percent gross profit on sales. Operating expenses for July totaled $7,500, and the company€™s income tax rate is 15 percent of net income before income taxes.


INSTRUCTIONS
1. From this data, compute the following:
a. Work in Process Inventory, July 1
b. Finished Goods Inventory, July 1
c. Cost of Goods Sold for July
d. Work in Process Inventory, July 31
e. Finished Goods Inventory, July 31
f. Sales for July
2. Prepare a condensed income statement for LA Inc. for the month of July.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

College Accounting Chapters 1-30

ISBN: 978-1259631115

15th edition

Authors: John Price, M. David Haddock, Michael Farina

Question Posted: