$11$

Exercise $1-12($Static$)$ Product and Period Cost Flows $[$LO$1-3]$

$92$

oints

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The Devon Motor Company produces automobiles. On April $1,$ the company had no beginning inventories, and it purchased $8,000$ batterles at a cost of $$80$ per battery. It withdrew $7,600$ batterles from the storeroom during the month. Of these, $100$ were used to replace batterles in cars used by the company's traveling sales staff. The remaining $7,500$ batteries withdrawn from the storeroom were placed in cars being produced by the company. Of the cars in production during April, $90$ percent were completed and transferred from work in process to finished goods. Of the cars completed during the month, $30$ percent were unsold at April $30.$

Required:

and $2$ Determine the cost of batterles appearing in each of the following accounts on April $30$ and select whether each of the accounts would appear on the balance sheet or on the income statement.

$\backslash$table$[[$Name of the Account,Cost,Appears on:$],[$Raw Materials,,Balance Sheet$],[$Work in Process,,Balance Sheet$],[$Finished Goods,,Balance Sheet$],[$Cost of Goods Sold,,Income Statement$],[$Selling Expense,,Income Statement$]]$