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(Solved): Bob's Bistro produces party-sized hoagie sandwiches. For next year, Bob's Bistro predicts that 50,00 ...
Bob's Bistro produces party-sized hoagie sandwiches. For next year, Bob's Bistro predicts that 50,000 units will be produced with the following total costs
Direct materials ?
Direct labor $55,000
Variable overhead $25,000
Fixed overhead $190.000
Next year, Bob's Bistro expects to purchase $127,500 of direct materials. Projected beginning and ending inventories for direct materials and work in process are as follows:
Direct materials inventory
Ending:$6,900
Beginning: $7,000
Work-in-Process Inventory
Ending: $15,700
beginning: $13,700
Required:
1. Prepare a statement of cost of goods manufactured.
Bob's Bistro
Statement of Cost of Goods Manufactured For the Coming Year
Direct materials
Beginning inventory $7,000
Add: Purchases _____
Materials available. $______
Less: Ending inventory $6,900
Direct materials used in production $___
Direct labor $55,000
Manufacturing (Factory) overhead $215000
Total manufacturing costs added $____
Add: Beginning work in process $______
Less: Ending work in process$____
Cost of goods manufactured $__________
2. What if the ending inventory of direct materials decreased by $3,000? Indicate the affect that this would have on the items listed below;
Direct materials used increased by $ ____
total manufacturing cost increased by $____
cost of goods manufactured increase by $____
Cost of Goods Manufactured Bob's Bistro produces party-sized hoagle sandwiches. For next year, Bob's Bistro peedicts that 50,000 units will be produced with the following total costst Next year, Bob's Bistro expects to purchave \( \$ 127,500 \) of direct materials. Projected beginning and ending invontories for direct materials and work in process a
Foedoack Check My Work 2. What if the ending inventory of direct materials decreased by \( \$ 3,000 \) ? Indicate the affect that this would have on the items listed below:
Expert Answer
1. Statement of cost of goods manufacturing. >Materials available for use= Beginning inventory + Purchases= $7,000 + $127,500= $134,500. >Direct materials used in production= M