Question 3 Phi Phi Furniture produced 1,500 television stands in March. These stands are sold for RM300 each. Phi Phi had 250 finished goods inventory at the beginning of March. At the end of March,...


Complete question 3a) only


Question 3<br>Phi Phi Furniture produced 1,500 television stands in March. These stands are sold for RM300 each.<br>Phi Phi had 250 finished goods inventory at the beginning of March. At the end of March, there were<br>500 stands in the finished goods inventory. The following cost information relates to the months of<br>March.<br>RM<br>Raw materials purchases<br>120,000<br>Direct labor<br>75,000<br>Indirect labour<br>15,000<br>Factory rent<br>Office equipment depreciation<br>Depreciation of machinery<br>Factory utilities<br>Factory supervision<br>15,500<br>4,500<br>22,500<br>4,500<br>33,700<br>Sales commission<br>67,500<br>Administration expenses<br>112,500<br>Administration salaries<br>150,000<br>Supervisor salary<br>156,000<br>Accountant salaries<br>90,000<br>17,500<br>4,000<br>Beginning balance, raw materials<br>Beginning balance, WIP<br>Beginning balance, finished goods<br>Ending balance, raw materials<br>Ending balance, WIP<br>Ending balance, Finished goods<br>30,000<br>25,000<br>5,500<br>42,500<br>Required:<br>a) Prepare a statement for cost of goods manufactured.<br>b) Compute the average cost of producing one unit of television stand.<br>c) Calculate the total conversion cost.<br>d) Prepare a statement of profit and loss for external users<br>

Extracted text: Question 3 Phi Phi Furniture produced 1,500 television stands in March. These stands are sold for RM300 each. Phi Phi had 250 finished goods inventory at the beginning of March. At the end of March, there were 500 stands in the finished goods inventory. The following cost information relates to the months of March. RM Raw materials purchases 120,000 Direct labor 75,000 Indirect labour 15,000 Factory rent Office equipment depreciation Depreciation of machinery Factory utilities Factory supervision 15,500 4,500 22,500 4,500 33,700 Sales commission 67,500 Administration expenses 112,500 Administration salaries 150,000 Supervisor salary 156,000 Accountant salaries 90,000 17,500 4,000 Beginning balance, raw materials Beginning balance, WIP Beginning balance, finished goods Ending balance, raw materials Ending balance, WIP Ending balance, Finished goods 30,000 25,000 5,500 42,500 Required: a) Prepare a statement for cost of goods manufactured. b) Compute the average cost of producing one unit of television stand. c) Calculate the total conversion cost. d) Prepare a statement of profit and loss for external users

Jun 09, 2022
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