Assignment:
Cost Flow in a Manufacturing Organization
Given the following information, compute the ending balances of the Materials Inventory, Work in Process Inventory, and Finished Goods Inventory accounts:
|
Materials Inventory, beginning balance
|
$ 23,000
|
|
Work in Process Inventory, beginning balance
|
25,750
|
|
Finished Goods Inventory, beginning balance
|
38,000
|
|
Direct materials purchased
|
85,000
|
|
Direct materials placed into production
|
74,000
|
|
Direct labor costs
|
97,000
|
|
Overhead costs
|
35,000
|
|
Cost of goods manufactured
|
123,000
|
|
Cost of goods sold
|
93,375
|
Document Flows in a Manufacturing Organization
Identify the document needed to support each of the following activities in a manufacturing organization:
1. Placing an order for direct materials with a supplier
2. Recording direct labor time at the beginning and end of each work shift
3. Receiving direct materials at the shipping dock
4. Recording the costs of a specific job requiring direct materials, direct labor, and overhead
5. Issuing direct materials into production
6. Billing the customer for a completed order
7. Fulfilling a request from the Production Scheduling Department for the purchase of direct materials