Chapter 3 Accounting video

Which of the following are sections of the Schedule of Cost of Goods Manufactured? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.)

Direct labor, direct materials, factory overhead, cost of goods manufactured

From the list below, select the items that are classified as a materials activity.

Raw materials beginning inventory, raw materials purchases

Assume that Speedboat Company has beginning finished goods inventory of $10,000; ending finished goods inventory of $150,000; goods available for sale of $210,000; and cost of goods manufactured of $200,000. What is its cost of goods sold?

The cost of goods sold (COGS) can be calculated using the formula: COGS=Goods Available for Sale−Ending Finished Goods InventoryCOGS=Goods Available for Sale−Ending Finished Goods Inventory Using the provided values: COGS=$210,000−$150,000COGS=$210,000−$150,000 COGS=$60,000COGS=$60,000 Therefore, the cost of goods sold for Speedboat Company is $60,000.

Cold Creek Kayaks, a manufacturing company, has beginning finished goods inventory of $25,000; cost of goods manufactured of $320,000; and ending finished goods inventory of $32,000. What is the cost of goods available for sale?

beginning finished goods inventory of $25,000 + cost of goods manufactured of $320,000 = cost of goods available for sale

Completed products ready for sale are referred to as:

finished goods inventory

The main difference on the income statement between a manufacturer and a merchandiser includes

items making up cost of goods sold

A ________________ adds beginning finished goods inventory to cost of goods manufactured and then subtracts ending finished goods inventory to get cost of goods sold.

manufactured