The past years operations of the Beachwear Manufacturing Company are as follows: Inventories ($) Beginning Ending Raw
Question:
The past year’s operations of the Beachwear Manufacturing Company are as follows:
Inventories ($) Beginning Ending Raw materials 86,000 91,000
Work in Process 90,000 40,000
Finished Goods 110,000 120,000
Other Data: Direct Materials Used ---------------------------------------------- $ 416,000
Total Manufacturing Costs Charged to production during the year (includes direct material, direct labour, and manufacturing overhead applied at a rate of 60% of direct-labour cost) ----------------------------------$ 718,000
Cost of Goods Available for Sale ----------------------------------$ 816,000
Selling and Administration Expenses ----------------------------- $ 32,500
a) What was the cost of raw materials purchased during the year?
b) What was the direct-labour cost charged to production during the year?
c) What was the cost of goods manufactured during the year?
d) What was the cost of goods sold during the year?
Expert Answer:
