The following balances are from the accounts of Tappan Parts: January 1 (Beginning) December 31 (Ending) Direct materials inventory

Question

The following balances are from the accounts of Tappan Parts:
January 1 (Beginning)
Direct materials inventory: $21,800
Work-in-process inventory: $32,300
Finished goods inventory: $5,500  
December 31 (Ending)
Direct materials inventory: $24,600
Work-in-process inventory: $29,200
Finished goods inventory: $6,500  
Additional information:
- Direct materials used during the year: $46,000
- Cost of goods sold for the year: $52,700  
Required:
Prepare a cost of goods sold statement.

Anonymous · Accepted Answer

Tappan Parts:Cost of goods sold statement:Beginning inventory:Direct materials              $21,800 WIP                                   32,300Finished goods                 5,500Total                              $59,600Purchases of materials 53,400Available                       $113,000     less Ending inventory:Direct materials            $24,600WIP                                  29,200Finished goods                 6,500Total                              $60,300 Cost of goods sold       $52,700Explanation:a) Data and Calculations:                                        January 1 (Beginning)         December 31 (Ending) Direct materials inventory      $ 21,800                         $ 24,600 Work-in-process inventory       32,300                            29,200 Finished goods inventory          5,500                               6,500 Direct materials used during the year amount to $46,000 and the cost of goods sold for the year was $52,700b) The missing figure in the above statement is the purchases of raw materials.  This is determined by adding the cost of goods sold to the ending inventory of raw materials, work in process, and finished goods.  This gives the cost of raw materials, WIP, and finished goods available for sale.  Then the beginning inventories of raw materials, WIP, and finished goods are deducted to obtain the amount of purchases of materials made during the period.

Miss Sarai Sanford · Answer

answer; // there are violations that can cause injuries or death;

Anonymous · Answer

Is this supposed to be a question or a protest

Anonymous

The following balances are from the accounts of Tappan Parts: January 1 (Beginning) December 31 (Ending) Direct materials inventory

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