Quantitative Analysis
Kiera27
StudentWorkbook.xlsxRequirements
| Paisley Industries |
| Quantitative Analysis: |
| The information on the Data tab was collected for Paisley Industries. |
| Complete the following schedules/statements on the Student Template tab: |
| a. Prepare a schedule of raw materials placed in production for the year ended December 31, 2018. |
| b. Prepare a schedule of cost of goods manufactured for the year ended December 31, 2018. |
| c. Prepare a schedule of cost of goods sold for the year ended December 31, 2018. |
| d. Prepare an income statement for the year ending December 31, 2018. |
| Qualitative Analysis: |
| Analyze the results of the quantitative analysis. Provide recommendations to management of Paisley Industries based on the results of their 2018 operations. |
Data
| Paisley Industries | |
| The following information is for Paisley Industries for the year ended December 31, 2018. | |
| Raw materials inventory beginning balance | $25,000 |
| Raw materials inventory ending balance | $19,000 |
| Work-in-process inventory beginning balance | $1,645,000 |
| Work-in-process inventory ending balance | $1,795,000 |
| Finished goods inventory beginning balance | $1,225,000 |
| Finished goods inventory ending balance | $1,045,000 |
| Raw material purchases | $295,000 |
| Direct labor used in production | $370,000 |
| Manufacturing overhead | $1,885,000 |
| Selling costs | $265,000 |
| General and administrative | $715,000 |
| Sales revenue | $3,790,000 |
| Indirect Materials included in Raw Materials placed in production | $31,000 |
Student Template
| Paisley Industries |
| Income Statement and Supporting Schedules. |
| Note: You are required to use referencing formulas to pull the numbers in from the data tab (yellow cells) and to calculate all required numbers (grey cells). |
| <Company Name> |
| Schedule of Raw Materials Placed in Production |
| Year Ended <Date> |
| Raw materials inventory, beginning balance |
| Add current period raw materials purchases |
| Raw materials available for production |
| Less raw materials inventory, ending balance |
| Raw materials placed in production |
| Less indeirect materials included in manufacturing overhead |
| Direct materials placed in production |
| <Company Name> |
| Schedule of Cost of Goods Manufactured |
| Year Ended <Date> |
| WIP Inventory, beginning balance |
| Add current period manufacturing cots: |
| Direct Materials |
| Direct Labor |
| Manufacturing Overhead |
| Total current period manufacturing costs |
| Total cost of work in process |
| Less WIP Inventory, ending balance |
| Cost of goods manufactured |
| <Company Name> |
| Schedule of Cost of Goods Sold |
| Year Ended <Date> |
| Finished goods inventory, beginning balance |
| Add cost of goods manufactured |
| Cost of goods available for sale |
| Less finished goods inventory, ending balance |
| Cost of goods sold |
| <Company Name> |
| Income Statement |
| Year Ended <Date> |
| Sales |
| Cost of goods sold |
| Gross profit |
| Less operating (nonmanufacturing) expenses: |
| Selling |
| General and administrative |
| Operating profit |
