70.2K

Verified Solution

Link Copied!

I-17.03 Vintage Furniture constructs and sells executive style conference tables. The selling price is $10,000 per table. A unique feature is that the only raw material used in the construction of each table, other than indirect materials like glues and screws, comes entirely from a single tree. Tree prices and other costs of production have remained stable, and Vintage is able to use each tree purchased without incurring any significant spoilage. Consider the following"disorganized" information and complete the indicated requirements. Ending work in process (600 tables) Selling price per table Ending finished goods (200 tables) Indirect labor incurred during the period Raw materials transferred into production (700 trees) Beginning finished goods (400 tables) Cost of glues and screws Beginning work in process Ending raw materials (500 trees) Direct labor incurred during the period Selling, general, and administrative costs incurred Depreciation of factory equipment Raw material purchases during the period (900 trees) All other factory overhead Tables sold (800 tables) $1,800,00 10,000 1,400,000 125,000 700,000 2,800,00 35,000 1,465,000 500,000 3,300,00 1,150,000 75,000 900,000 300,000 (a) Complete the reconciliation of units on the accompanying blank worksheet, showing the "unit (b) (c) (d) activity in raw materials, work in process, and finished goods Calculate the cost of goods manufactured. Calculate the cost of goods sold. Calculate net income. Assume an income tax rate of 35%

Answer & Explanation Solved by verified expert

See Answer