4. (TCO A) The following data (in thousands of dollars) have been taken from the accounting records of Karmana Corporation for the just-completed year.Sales ……………………………………………………….$950 Raw materials inventory, beginning ………………….$10 Raw materials inventory, ending ……………………..$30 Purchases of raw materials ………………………….$120 Direct labor ………………………………………………$180 Manufacturing overhead ……………………………..$230 Administrative expenses ……………………………..$100 Selling expenses ………………………………………..$140 Work-in-process inventory, beginning ………………$70 Work-in-process inventory, ending ………………….$40 Finished goods inventory, beginning ………………$100 Finished goods inventory, ending ……………………$80 Use these data to prepare (in thousands of dollars) a schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold for the year. In addition, elaborateorate on the relationship between these schedules as they relate to the flow of product costs in a manufacturing company.(Points : 15)
Schedule of Cost of Goods Manufacturedfor the YearDirect materials costs:Beginning inventoryPurchases of direct materialsCost of direct materials available for useEnding inventoryDirect…
