Assume that one of Choice Candy's factories produces 50-pound blocks of dark chocolate and that it...

 

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Assume that one of Choice Candy's factories produces 50-pound blocks of dark chocolate and that it needs to prepare a year-end balance sheet and income statement, as well as a statement of cost of goods manufactured, and compute its product's actual unit cost. During the year, the factory purchased $361,920 of direct materials. The factory's direct labor costs for the year were $99,085 (10,430 hours at $9.50 per hour); its indirect labor costs totaled $126,750 (20,280 hours at $6.25 per hour). Account balances for the year follow. Balance $ 42,500 8,100 29,220 46,200 62,800 9,460 14,980 76,480 Account Plant Supervision Factory Insurance Utilities, Factory Depreciation, Factory Building Depreciation, Factory Equipment Factory Security Factory Repair and Maintenance Selling and Administrative Expenses Materials Inventory, beginning Work in Process Inventory, beginning Finished Goods Inventory, beginning Materials Inventory, ending Work in Process Inventory, ending Finished Goods Inventory, ending 26,490 101,640 148,290 24,910 100,400 141,100 1 Compute the cost of materials used during the year, 2 From the cost of materials used, compute the total manufacturing costs for the year. 3. From the total manufacturing costs for the year, compute the cost of goods manufactured during the year. 4. If 13,397 units (1 unit = 50-pound block of dark chocolate) were manufactured during the year, what was the actual product unit cost? (Round to two decimal places.) %3D Assume that one of Choice Candy's factories produces 50-pound blocks of dark chocolate and that it needs to prepare a year-end balance sheet and income statement, as well as a statement of cost of goods manufactured, and compute its product's actual unit cost. During the year, the factory purchased $361,920 of direct materials. The factory's direct labor costs for the year were $99,085 (10,430 hours at $9.50 per hour); its indirect labor costs totaled $126,750 (20,280 hours at $6.25 per hour). Account balances for the year follow. Balance $ 42,500 8,100 29,220 46,200 62,800 9,460 14,980 76,480 Account Plant Supervision Factory Insurance Utilities, Factory Depreciation, Factory Building Depreciation, Factory Equipment Factory Security Factory Repair and Maintenance Selling and Administrative Expenses Materials Inventory, beginning Work in Process Inventory, beginning Finished Goods Inventory, beginning Materials Inventory, ending Work in Process Inventory, ending Finished Goods Inventory, ending 26,490 101,640 148,290 24,910 100,400 141,100 1 Compute the cost of materials used during the year, 2 From the cost of materials used, compute the total manufacturing costs for the year. 3. From the total manufacturing costs for the year, compute the cost of goods manufactured during the year. 4. If 13,397 units (1 unit = 50-pound block of dark chocolate) were manufactured during the year, what was the actual product unit cost? (Round to two decimal places.) %3D

Answer rating: 100% (QA)

1 Calculation of Direct Materials Used Raw materials inventory beginning 26490 AddDirect materials purchases 361920 Raw Material available for use 388410 LessEnding raw material inventory 24910 Direct material ... View the full answer