*Help me understand* Explain how each part was solved and why? Zachary Manufactu
ID: 2397832 • Letter: #
Question
*Help me understand*
Explain how each part was solved
and why?
Zachary Manufacturing Company began operations on January 1. During the year, it started and completed 1,650 units of product. The financial statements are prepared in accordance with GAAP. The company incurred the following costs: 1. Raw materials purchased and used-$3,080. 2. Wages of production workers-$3,610 3. Salaries of administrative and sales personnel- $1,890. 4. Depreciation on manufacturing equipment-$5,685 5. Depreciation on administrative equipment-$1,790. Zachary sold 1,130 units of product Required a. Determine the total product cost for the year. b. Determine the total cost of the ending inventory. (Do not round intermediate calculations.) c. Determine the total of cost of goods sold. (Do not round intermediate calculations.) a. Total product cost b. Total cost of ending inventory c. Total cost of goods soldExplanation / Answer
A Total Product Costs: Raw Material Used 3080 Wages 3610 Depreciation on Machine 5685 Total Product Costs 12375 B Total Cost of Manufacturing 12,375 Total Units Produced 1650 a Manufacturing Cost of Per Unit 7.50 b Closing Units* 520 a*b Closing Inventory 3900 Total Units Produced 1650 Total Units Sold 1130 Closing Units* 520 C Total Cost of Manufacturing 12375 Less: Closing Inventory 3900 Cost of Manufacturing for Sold 8475 Add: Adminstartive Costs 3680 (1890+1790) Total Cost of Goods Sold 12155
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.