Refer to the preceding problem. Suppose some goods were still in process that cost $100,000. Half the goods completed were sold. What are the balances of all the accounts in the ending balance sheet?

Data From Previous Problems

Assume that the Bolton Company had no beginning inventories. The following transactions occurred in 2009 (in thousands):

1. Purchase of direct materials $350

2. Direct materials used 300

3. Acquire direct labour 160

4. Acquire factory overhead 200

5. Complete all goods that were started ??

6. Cost of goods sold (half of the goods completed were sold) ??

Prepare an analysis similar to Exhibit 4-5. What are the ending balances of direct materials, work-in-process, and finished goods inventory?

Exhibits 4-5

Transcribed Image Text:

Finished- Goods Direct- Work-In- Process Transaction Materials Inventory Inventory Inventory Beginning balance $ 0 Purchase direct +30 materials Use direct materials -20 +20 Acquire and use direct labour +12 Acquire and use factory overhead Complete production Sell goods and record cost of goods +8 -40 +40 - 32 sold Ending balance $ 10 $ 8