Business, 12.03.2020 17:16 kassandrarosario1115

During the month, 9,000 units of product were manufactured and 8,500 units of product were sold. On August 1, AAA Plumbing carried no inventories. (a.) Calculate the cost of goods manufactured during August and the average cost per unit of product manufactured. (b.) Calculate the cost of goods sold during August. (c.) Where in the financial statements will the difference between cost of goods manufactured and cost of goods sold be classified?

Answers: 1

Show answers

Answers

Answer from: Clerry

(a) Calculate the cost of goods manufactured during August and the average cost per unit of product manufactured.

The answers are as follows:

Cost of goods manufactured = $432,000

Cost per unit manufactured = $48

(b) Calculate the cost of goods sold during August.

Cost of goods sold during August = $408,000

(c) Where in the financial statements will the difference between cost of goods manufactured and cost of goods sold be classified?

The difference is shown in asset side in inventories section as finished goods inventory.

Workings are attached as follows:

Explanation:

(a) Calculate the cost of goods manufactured during August and the average cost per unit of product manufactured.

Cost of goods manufactured:

The cost of goods manufactured (COGM) is also called cost of goods completedIt calculates the total value of inventory that was produced during the period and is ready for sale. This is the total amount of expenses incurred to turn work in process inventory into finished goods.

How to calculate the cost of goods manufactured?

The cost of goods manufactured equation is calculated by adding the total manufacturing costs; including all direct materials, direct labor, and factory overhead; to the beginning work in process inventory and subtracting the ending goods in process inventory. This formula will leave you with only the cost of goods that were completed during the period.

(b) Calculate the cost of goods sold during August.

Cost of goods sold:

Cost of goods sold (COGS) refers to the direct costs of producing the goods sold by a company. This amount includes the cost of the materials and labor directly used to create the good. It excludes indirect expenses, such as distribution costs and sales force costs.

(c) Where in the financial statements will the difference between cost of goods manufactured and cost of goods sold be classified?

When the goods are sold from the cost of goods manufactured, this leaves us with the balance of inventory (closing stock). Closing stock is the current asset and this appears in the current assets portion of Statement of Financial Position (SOFP) - known as balance sheet.

Answer from: Quest

The atomic nucleus is the small, dense region consisting of protons and neutrons at the center of an atom, discovered in 1911 by ernest rutherford based on the 1909 gold foil experiment.

Answer from: Quest

answer; manager working long hours; plz check i believe this is correct good luck;

Another question on Business

Business, 21.06.2019 21:30

Alandowner entered into a written agreement with a real estate broker whereby the broker would receive a commission of 10% of the sale price if he procured a "ready, willing, and able buyer" for the landowner's property and if the sale actually proceeded through closing. the broker found a buyer who agreed in writing to buy the property from the landowner for $100,000, the landowner's asking price. the buyer put up $6,000 as a down payment. the agreement between the landowner and the buyer contained a liquidated damages clause providing that, if the buyer defaulted by failing to tender the balance due of $94,000 at the closing date, damages would be 10% of the purchase price. the landowner included that clause because she was counting on using the proceeds of the sale for a business venture that would likely net her at least $10,000. the buyer became seriously ill and defaulted. when he recovered, he demanded that the landowner return his $6,000, and the landowner refused. the broker also demanded the $6,000 from the landowner and was refused. the broker and the buyer filed separate suits against the landowner, with the buyer pleading impossibility of performance. the two cases are consolidated into a single case. how should the court rule as to the disposition of the $6,000?

Answers: 3

Answer

Business, 21.06.2019 22:30

Chip wilson has hired goldman sachs, an investment banking company, to assist him with a hostile takeover of lululemon. wilson's goal is to hire a new board of directors because he believes there is a need for a more long-term focus. goldman sachs is a proven firm at making a profit in every move that they make. if the hostile takeover does not pan out, what could be another motive for investors?

Answers: 1

Answer

Business, 22.06.2019 08:20

(05.04 mc) a 2012 report from the u.s. surgeon general stated: "another common practice is strategically locating tobacco-related marketing materials where young children will be exposed to them. tobacco industry executives acknowledge that products and advertising should be placed at eye level (pollay 2007), but in california, 48% of stores had at least one cigarette marketing item at or below 3 feet from the floor (feighery et al. 2001)." it was also noted that 25% of cigarette displays were next to candy. in addition, a national study found that about one-third of the stores had tobacco ads at low heights. after california banned counter displays, some stores place cigarettes in transparent displays so product brands could still be seen. why did some stores use transparent units to display the cigarettes? (3 points) to comply with the new rules while still encouraging cigarette purchases via visual exposure to ensure children and minors are not exposed to cigarettes and their eye-catching packaging to minimize exposure to humidity, extending the shelf life of the cigarettes' tobacco to reduce the occurrence of shoplifting, since cigarettes are high-revenue items

Answers: 3

Answer

Business, 22.06.2019 22:00

Which of the following is the term for something that you can't live without 1. need 2. want 3. good 4. service

Answers: 1

Answer

You know the right answer?

During the month, 9,000 units of product were manufactured and 8,500 units of product were sold. On...

Questions