The following data (in thousands of dollars) have been taken from the accounting records of

Karmana Corporation for the just-completed year.

Sales ..........................................................................$1,950

Raw materials inventory, beginning ..........................$50

Raw materials inventory, ending ................................$30

Purchases of raw materials ........................................$360

Direct labor ..................................................................$120

Manufacturing overhead ..........................................$175

Administrative expenses ............................................$100

Selling expenses ..........................................................$140

Work-in-process inventory, beginning .....................$50

Work-in-process inventory, ending ...........................$70

Finished goods inventory, beginning ......................$200

Finished goods inventory, ending ............................$105

Use these data to prepare (in thousands of dollars) a schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold for the year. In addition, elaborate on the relationship between these schedules as they relate to the flow of product costs in a manufacturing company.

Answer rating: 100% (QA)

COST OF GOODS MANUFACTURED PARTICULARS AMOUNT Raw material in the beginning 50 Add Purchases of Raw ... View the full answer