Selected account balances of Heedy Manufacturing Company appear below for 2020:

Beginning of Year End of year

Finished Goods Inventory 20000 26000

Work in Process Inventory 30000 35000

Raw Materials Inventory 46000 26000

Sales 340000

Direct Labor 55000

Factory Supervisory Salaries 18000

Income Tax Expense 25000

Factory Insurance 12000

Raw Material Purchases 90000

Administrative Expenses 27000

Sales Return and Allowances 15000

Factory Depreciation 22000

Indirect Labor 11000

Selling Expenses 35000

Using the above information for Heedy Manufacturing Company, answer the following questions Support your answers with clearly identified computations

1 What was the amount of direct materials used in production?

2 What were the total manufacturing costs incurred?

3 What was the cost of goods manufactured?

4 What was the cost of goods sold?

5 What was the amount of net income?

Answer rating: 100% (QA)

1 Direct materials used Beginning Raw materials inventory 46000 Add Raw material purchases 90000 Tot... View the full answer