For Neel

neel4.xlsx

Problem 1

Problem 1
Required: Use the following information to complete the below schedule of cost of goods manufactured.
(25 points)
Purchases of raw materials	$ 120,000.00
Raw materials available for use	$ 148,000.00
Cost of direct raw materials used	$ 124,000.00
Manufacturing overhead	$ 24,000.00
Total manufacturing costs	$ 310,000.00
Ending work-in-process inventory	$ (46,000.00)
Cost of goods manufactured	$ 306,000.00
Schedule of Cost of Goods Manufactured
Beginning inventory, raw materials
Plus: Purchases of raw materials
Raw materials available for use	$ - 0
Less: Ending raw materials inventory
Cost of direct raw materials used	$ - 0
Direct labor
Manufacturing overhead
Total manufacturing costs	$ - 0
Plus: Beginning work-in-process inventory
Total work in process	$ - 0
Less: Ending work-in-process inventory
Cost of goods manufactured	$ - 0

Problem 2
Required: JZ is a musician who is considering whether to independently produce and sell a CD. JZ estimates fixed costs of $10,000 and variable costs of $4.00 per unit. The expected selling price is $12 per CD. What is JZ's break-even point in units and dollars?
(25 points)
Break-even point in units		Fixed Costs
		Contribution margin per unit
Break-even point in dollars		Break-even point in units * selling price