Slide 1
2.3 Costs and the financ ial Stmts
- T
he c ost c lassific ation is important in the formation of re ports.
- F
ina nc ial re ports
- Sc he dule s
- Sc he dule of c osts of g oods
ma nufac tur e d
- Sc he dule of c osts of g oods sold
- Sta te me nts
- Inc ome sta te me nt
- Balanc e she e t
2005 K D Ha the wa y-Dia l
___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ Slide 2
Costs of Goods Manufac ture d
R aw Mate r ial Be ginning R aw Mate r ials Inventor y $ 10,000 Add Pur c hases 100,000 L e ss e nding Raw Mater ials Inventor y (20,000) Raw Mate r ia ls use d in Pr
- duc tion
90,000 Dir ec t L abor 170,000 Manufac tur ing ove r he ad Indir e c t mater ial 25,000 Indir e c t labor 40,000 F ac tor y Utilitie s 35,000 F ac tor y Re nt 110,000 T
- tal manufa c tur
ing over he a d 210,000 T
- tal Manufac tur
e d Costs 470,000 Be ginning Wor k in Pr
- c e ss
80,000 le ss E nding Wor k in Pr
- c e ss
(70,000) Cost of Goods Manufa c tur ed $480,000
T he Company Name Sc he dule of Costs of Goods Ma nufa c tur e d
F
- r the pe rio d e nding XX/ XX/ 20XX
2005 K D Ha the wa y-Dia l
___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________ Slide 3
Costs of goods Sold
Be ginning F inished Goods Inventory $ 20,000 Add Costs of Goods Manufa c ture d 480,000 Costs of Goods Ava ilable 500,000 L e ss e nding F inishe d Goods Inventory (50,000) Cost of G oods Sold $ 450,000
T he Company Name
Sc he dule of Costs of Goods Sold
F
- r
the pe r iod e nding XX/ XX/ 20XX
2005 K D Ha the wa y-Dia l