What is the amount of gross profit during the period


A Company had the following account balances for the quarter ending March 30, unless otherwise noted:

Beginning direct materials inventory $25,000

Beginning finished goods inventory $50,000

Beginning WIP inventory $39,000

Depreciation on factory building $54,000

Depreciation on office equipment $40,000

Direct Labor $130,000

Direct materials purchases $175,000

Ending direct materials inventory $29,000

Ending finished goods inventory $44,000

Ending WIP inventory $40,000

Indirect labor $42,000

Indirect materials used $14,000

Miscellaneous manufacturing overhead $25,000

Other selling and administrative expenses $20,000

Property taxes on office buiding $24,000

Sales $700,000

Utilities in factory building $27,000

Required:

  1. What is the amount of cost of goods manufactured during the quarter?
  2. What is the amount of gross profit during the period?
  3. What is the amount of net income (assuming no income taxes)?
  4. What is the total amount of conversion costs?

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: What is the amount of gross profit during the period
Reference No:- TGS0686326

Expected delivery within 24 Hours