Problem 1
Required: Use the following information to complete the below schedule of cost of goods manufactured.
Purchases of raw materials $120,000.00
Raw materials available for use $148,000.00
Cost of direct raw materials used $124,000.00
Manufacturing overhead $24,000.00
Total manufacturing costs $310,000.00
Ending work-in-process inventory $(46,000.00)
Cost of goods manufactured $306,000.00
Problem 2
Required: JZ is a musician who is considering whether to independently produce and sell a CD. JZ estimates fixed costs of $10,000 and variable costs of $4.00 per unit. The expected selling price is $12 per CD. What is JZ’s break-even point in units and dollars