Assignment Instructions/ Description
Help Image transcription textSky Tracker Corporation manufactures a telecommunications device. During its first year of operations, the company started and
completed 45 devices at a cost of $66,000 per unit. Of these, 43 were sold for $126,000 each and two remain in finished goods
inventory. In addition, the company had six partially completed units in its factory at year-end. Total costs for the year (summarized
alphabetically) were as follows.
Direct materials used
$
900 , 000
Direct labor
960, 000
Income tax expense
500, 000
General and administrative expenses
600 , 000
Manufacturing overhead
1, 440, 000
Selling expenses
400, 000
Required:
a. Compute the total manufacturing costs charged to work in process for the current year.
b. Compute the cost of finished goods manufactured for the current year.
c. Compute the cost of goods sold for the current year.
d. Compute the gross profit on sales and net income for the current year.
e. Compute the dollar value of ending inventories of (1) work in process and (2) finished goods for the current year.
a
Total manufacturing costs charged to work in process for the current year.
Cost of finished goods manufactured
Cost of goods sold
d
Gross profit on sales
Net income
e-1
Ending inventory of work in process
e-2
Ending inventory of finished goods... Show more