Prepare answers in an Excel workbook 1. Preparing a schedule of


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Prepare answers in an Excel workbook 1. Preparing a schedule of cost of goods manufactured Knight Corp., a lamp manufacturer, provided the following information for the year ended December 31, 2014. Inventories: Beginning Ending Raw Materials $ 56,000 $ 23,000 Work-in-Process 103,000 63,000 Finished Goods 41,000 48,000 Other information: Depreciation, plant building and equipment $ 16,000 Raw materials purchases 159,000 Insurance on plant 22,000 Sales salaries 46,000 Repairs and maintenance—plant 8,000 Indirect labor 32,000 Direct labor 122,000 Administrative expenses 59,000 Requirements 1. Use the information to prepare a schedule of cost of goods manufactured. 2. What is the unit product cost if Knight manufactured 2,160 lamps for the year? Learning Objective 4 Learning Objective 4 1. COGM: $432,000 2. Computing cost of goods manufactured and cost of goods sold Use the following information for a manufacturer to compute cost of goods manufactured and cost of goods sold: Inventories: Beginning Ending Raw Materials $ 29,000 $ 32,000 Work-in-Process 44,000 37,000 Finished Goods 19,000 24,000 Other information: Purchases of materials $ 77,000 Direct labor 87,000 Manufacturing overhead 45,000 COGM: $213,000 3. Problem P18-42 is the first problem in a sequence of problems for Davis Consulting, Inc. This company was also used for the Continuing Problems in the financial accounting chapters as the business evolved from a service company to a merchandising company. However, it is not necessary to complete those problems prior to completing P18-42. P18-42 Davis Consulting, Inc. is going to manufacture billing software. During its first month of manufacturing, Davis incurred the following manufacturing costs: Inventories: Beginning Ending Raw Materials $ 10,800 $ 10,300 Work-in-Process 0 21,000 Finished Goods 0 31,500 Other information: Raw materials purchases $ 19,000 Plant janitorial services 700 Sales salaries expense 5,000 Delivery expense 1,700 Sales revenue 750,000 Utilities for plant 10,000 Rent on plant 13,000 Customer service hotline costs 18,000 Direct labor 190,000 Prepare a schedule of cost of goods manufactured for Davis for the month ended January 31, 2016.

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