The following costs and inventory data were taken from the accounts of Cairns Ltd as of 31 December 2019:
Instructions:
a. Prepare a schedule showing the amount of direct materials used in production during the year.
b. Compute the amount of manufacturing overhead incurred during the year.
c. Prepare a schedule of cost of goods manufactured for Cairns Ltd for the year ended 31 December 2019 in good form.
d. Prepare the cost of sales section of the income statement for Cairns Ltd for the year ended 31 December 2019 in good form.

Question

The following costs and inventory data were taken from the accounts of Cairns Ltd as of 31 December 2019:
  Instructions:
a. Prepare a schedule showing the amount of direct materials used in production during the year.
b. Compute the amount of manufacturing overhead incurred during the year.
c. Prepare a schedule of cost of goods manufactured for Cairns Ltd for the year ended 31 December 2019 in good form.
d. Prepare the cost of sales section of the income statement for Cairns Ltd for the year ended 31 December 2019 in good form.

Quizplus · Accepted Answer

The Answer of The following costs and inventory data were taken from the accounts of Cairns Ltd as of 31 December 2019:
  Instructions:
a. Prepare a schedule showing the amount of direct materials used in production during the year.
b. Compute the amount of manufacturing overhead incurred during the year.
c. Prepare a schedule of cost of goods manufactured for Cairns Ltd for the year ended 31 December 2019 in good form.
d. Prepare the cost of sales section of the income statement for Cairns Ltd for the year ended 31 December 2019 in good form.

The Following Costs and Inventory Data Were Taken from the Accounts