In the income statement of a manufacturing company, what replaces purchases in the cost of goods section of a retail company

Question 1 pts

In the income statement of a manufacturing company, what replaces purchases in the cost of goods section of a retail company?

	Finished goods
	Cost of merchandise available

	Cost of goods manufactured
	Work in process completed

 Question 2 pts

Which of the following accounts will be found on the income statement?

	inventory
	work in process

	finished goods
	cost of merchandise sold

 

Question 3 pts

Cost of Materials Used       $40,000 Direct Labor costs              $55,000 Factory Overhead               $32,000 Work in Process, beg.         $28,000 Work in Process, end.         $18,000 What is Cost of Goods Manufactured?

	$173,000
	$97,000

	$117,000
	$137,000

 

Question 4 pts

Cost of Materials Used      $40,000 Direct Labor costs             $55,000 Factory Overhead              $32,000 Work in Process, beg.        $28,000 Work in Process, end.        $18,000 Finished Goods,beg.           $28,000 Finished Goods, end.          $18,000 What is Cost of Goods Sold?

	$147,000
	$137,000

	$10,000
	$128,000

 Question 5 pts

Beginning Raw Materials Inventory	$75,000
Materials purchased	$20,000
Ending Raw Materials Inventory	$30,000

How much are Raw Materials Used?

	$25,000
	$45,000

	$65,000
	$20,000

 

Question 6 pts

A company manufactured 50,000 units of a product at a cost of $250,000.  They sold 40,000 units for $10 each.  What is Gross Margin?

	$150,000
	$200,000

	$400,000
	$250,000

 Question 7 pts

The cost of a manufactured product generally consists of direct materials cost, direct labor cost, and factory overhead cost.

	True
	False

 Question 8 pts

Only the value of the inventory that is sold will appear in the income statement.

	True
	False