Problem: The ABC Corporation shows the following data in its accounting records for the most recently completed year:
Sales $900
Purchases of raw materials $200
Direct labor $150
Manufacturing overhead $250
Administrative expenses $150
Selling expenses $130
Raw materials inventory, beginning $80
Raw materials inventory, ending $30
Work in process inventory, beginning $70
Work in process inventory, ending $28
Finished goods inventory, beginning $100
Finished goods inventory, ending $120
Required to do:
Q1. What was the amount of Raw Materials used for the year?
Q2. What were the total Manufacturing costs for the year?
Q3. What were the total prime costs for the year?
Q4. What were the total conversion costs for the year?
Q5. What were the total Cost of Goods Manufactured for the year?