Problem 1-3A
Incomplete manufacturing costs, expenses, and selling data for two different cases are as follows.
Case 1
Case 2
| A = $9,600 + $5,000 + $8,000 = $22,600 |
| $22,600 + $1,000 – B = $17,000 |
| B = $22,600 + $1,000 – $17,000 = $6,600 |
| $17,000 + C = $22,000 |
| C = $22,000 – $17,000 = $5,000 |
| D = $22,000 – $3,400 = $18,600 |
| E = ($24,500 – $2,500) – $18,600 = $3,400 |
| F = $3,400 – $2,500 = $900 |
Case 2
| G + $8,000 + $4,000 = $16,000 |
| G = $16,000 – $8,000 – $4,000 = $4,000 |
| $16,000 + H – $3,000 = $24,000 |
| H = $24,000 + $3,000 – $16,000 = $11,000 |
| (I – $1,400) – K = $7,000 |
| (I – $1,400) – $24,800 = $7,000 |
| I = $1,400 + $24,800 + $7,000 = $33,200 |
| J = $24,000 + $3,300 = $27,300 |
| K = $27,300 – $2,500 = $24,800 |
| $7,000 – L = $5,000 |
| L = $2,000 |
Prepare a condensed cost of goods manufactured schedule for Case 1.
Prepare an income statement for Case 1.
Prepare the current assets section of the balance sheet for Case 1. Assume that in Case 1 the other items in the current assets section are as follows: Cash $3,000, Receivables (net) $15,000, Raw Materials $600, and Prepaid Expenses $400.
