Interactive Manufacturing Statements
Premium Sports Manufacturing Co.
For the year ended December 31, 2023, Premium Sports Manufacturing Co. had the following account balances:
- Direct Materials Purchased: $150,000
- Direct Labor: $200,000
- Manufacturing Overhead: $120,000
- Beginning Direct Materials Inventory: $30,000
- Ending Direct Materials Inventory: $25,000
- Beginning Work in Process: $45,000
- Ending Work in Process: $40,000
- Beginning Finished Goods: $80,000
- Ending Finished Goods: $75,000
- Sales Revenue: $800,000
- Selling Expenses: $100,000
- Administrative Expenses: $150,000
Available Items
Beginning Direct Materials Inventory: $30,000
Direct Materials Purchased: $150,000
Ending Direct Materials Inventory: $25,000
Direct Labor: $200,000
Indirect Labor: $50,000
Rent, Factory: $40,000
Depreciation, Equipment: $30,000
Beginning Work in Process: $45,000
Ending Work in Process: $40,000
Premium Sports Manufacturing Co.
Statement of Cost of Goods Manufactured
For the Year Ended December 31, 2023
Beginning Direct Materials Inventory
Direct Materials Purchased
Direct Materials Available for Use: $0
Ending Direct Materials Inventory
Direct Materials Used: $0
Direct Labor
Manufacturing Overhead:
Indirect Labor
Rent, Factory
Depreciation, Equipment
Total Manufacturing Overhead: $0
Total Manufacturing Cost Added: $0
Beginning Work in Process
Total Manufacturing Costs in Process: $0
Ending Work in Process
Cost of Goods Manufactured: $0
Premium Sports Manufacturing Co. - Part 2
Sports Manufacturing produced 28,000 basketballs during the year and each basketball retails for $10. Sports Manufacturing said that they had 4,000 basketballs in finished goods inventory at the beginning of the year. By the end of the year, there were 900 basketballs in finished goods inventory.
(!) Remember that Cost of Goods Manufactured is $480,000 (from Part 1)
Step 1: Calculate Units Sold
Units Sold = Beginning Finished Goods + Production Volume - Ending Finished Goods
Step 2: Calculate Sales Revenue
Sales Revenue = Price per Unit × Units Sold
0
Available Items
Beginning Finished Goods Inventory: $80,000
Cost of Goods Manufactured: $480,000
Ending Finished Goods Inventory: $75,000
Selling Expenses: $100,000
Administrative Expenses: $150,000
Sales Revenue: $1,034,400
Premium Sports Manufacturing Co.
Income Statement
For the Year Ended December 31, 2023
Sales Revenue
Cost of Goods Manufactured
Beginning Finished Goods Inventory
Cost of Goods Available for Sale: $0
Ending Finished Goods Inventory
Cost of Goods Sold: $0
Gross Profit: $0
Operating Expenses:
Selling Expenses
Administrative Expenses
Total Operating Expenses: $0
Operating Income (Net Income): $0