Question

In: Accounting

Newcomb Manufacturing Company was started on January 1, 2018, when it acquired $5,000 cash from the...

Newcomb Manufacturing Company was started on January 1, 2018, when it acquired $5,000 cash from the issue of common stock. During the first year of operation, $1,600 of direct raw materials was purchased with cash, and $1,200 of the materials was used to make products. Direct labor costs of $2,000 were paid in cash. Newcomb applied $1,280 of overhead cost to the Work in Process account. Cash payments of $1,280 were made for actual overhead costs. The company completed products that cost $3,200 and sold goods that had cost $2,400 for $4,000 cash. Selling and administrative expenses of $960 were paid in cash.

Prepare T-accounts and record the events affecting Newcomb Manufacturing. Include closing entries.

Prepare a schedule of cost of goods manufactured and sold, an income statement, and a balance sheet.

Solutions

Expert Solution

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Newcomb Manufacturing Company was started on January 1, Year 1, when it acquired $5,000 cash from...
Newcomb Manufacturing Company was started on January 1, Year 1, when it acquired $5,000 cash from the issue of common stock. During the first year of operation, $1,600 of direct raw materials was purchased with cash, and $1,200 of the materials was used to make products. Direct labor costs of $2,000 were paid in cash. Newcomb applied $1,280 of overhead cost to the Work in Process account. Cash payments of $1,280 were made for actual overhead costs. The company completed...
Vernon Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing...
Vernon Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing common stock. Vernon immediately purchased office furniture and manufacturing equipment costing $9,100 and $24,700, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,400 salvage value and an expected useful life of three years. The company paid $11,500 for salaries of administrative personnel and $15,800 for wages to production personnel. Finally, the company paid...
Baird Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing...
Baird Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing common stock. Baird immediately purchased office furniture and manufacturing equipment costing $9,100 and $35,900, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,900 salvage value and an expected useful life of four years. The company paid $11,500 for salaries of administrative personnel and $15,700 for wages to production personnel. Finally, the company paid...
Campbell Manufacturing Company was started on January 1, 2018, when it acquired $89,000 cash by issuing...
Campbell Manufacturing Company was started on January 1, 2018, when it acquired $89,000 cash by issuing common stock. Campbell immediately purchased office furniture and manufacturing equipment costing $7,700 and $26,500, respectively. The office furniture had an 8-year useful life and a zero salvage value. The manufacturing equipment had a $4,000 salvage value and an expected useful life of three years. The company paid $11,600 for salaries of administrative personnel and $15,100 for wages to production personnel. Finally, the company paid...
Vernon Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing...
Vernon Manufacturing Company was started on January 1, 2018, when it acquired $83,000 cash by issuing common stock. Vernon immediately purchased office furniture and manufacturing equipment costing $9,100 and $24,700, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,400 salvage value and an expected useful life of three years. The company paid $11,500 for salaries of administrative personnel and $15,800 for wages to production personnel. Finally, the company paid...
Rooney Manufacturing Company was started on January 1, 2018, when it acquired $75,000 cash by issuing...
Rooney Manufacturing Company was started on January 1, 2018, when it acquired $75,000 cash by issuing common stock. Rooney immediately purchased office furniture and manufacturing equipment costing $9,100 and $26,600, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,500 salvage value and an expected useful life of three years. The company paid $11,500 for salaries of administrative personnel and $15,400 for wages to production personnel. Finally, the company paid...
Baird Manufacturing Company was started on January 1, 2018, when it acquired $84,000 cash by issuing...
Baird Manufacturing Company was started on January 1, 2018, when it acquired $84,000 cash by issuing common stock. Baird immediately purchased office furniture and manufacturing equipment costing $9,800 and $35,100, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,500 salvage value and an expected useful life of four years. The company paid $11,700 for salaries of administrative personnel and $15,300 for wages to production personnel. Finally, the company paid...
Fanning Manufacturing Company was started on January 1, 2018, when it acquired $78,000 cash by issuing...
Fanning Manufacturing Company was started on January 1, 2018, when it acquired $78,000 cash by issuing common stock. Fanning immediately purchased office furniture and manufacturing equipment costing $7,700 and $34,300, respectively. The office furniture had an 8-year useful life and a zero salvage value. The manufacturing equipment had a $3,100 salvage value and an expected useful life of four years. The company paid $11,200 for salaries of administrative personnel and $15,700 for wages to production personnel. Finally, the company paid...
Benson Manufacturing Company was started on January 1, 2018, when it acquired $81,000 cash by issuing...
Benson Manufacturing Company was started on January 1, 2018, when it acquired $81,000 cash by issuing common stock. Benson immediately purchased office furniture and manufacturing equipment costing $7,000 and $34,400, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $3,600 salvage value and an expected useful life of four years. The company paid $11,100 for salaries of administrative personnel and $15,700 for wages to production personnel. Finally, the company paid...
Walton Manufacturing Company was started on January 1, 2018, when it acquired $85,000 cash by issuing...
Walton Manufacturing Company was started on January 1, 2018, when it acquired $85,000 cash by issuing common stock. Walton immediately purchased office furniture and manufacturing equipment costing $9,100 and $26,400, respectively. The office furniture had an 8-year useful life and a zero salvage value. The manufacturing equipment had a $3,000 salvage value and an expected useful life of three years. The company paid $11,800 for salaries of administrative personnel and $15,900 for wages to production personnel. Finally, the company paid...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT