Asked by Michael Ariestan on Jun 29, 2024
Verified
What is the ending balance of Finished Goods for Adams Company at the end of the first quarter?
A) $456
B) $1,067
C) $1,685
D) $2,752
Finished Goods
Items that have finished being made but haven't been purchased by buyers yet.
Production Jobs
Tasks or operations related to the manufacturing or production process within an organization, often categorized by specific roles or assignments.
Profit
The financial gain realized when the amount of revenue gained exceeds the expenses, costs, and taxes needed to sustain the operation.
- Recognize the significance of job costing, including the calculation of gross profit, sales, and the status of finished goods, work in process, and cost of goods sold for specific jobs.
Verified Answer
ZK
Zybrea KnightJul 05, 2024
Final Answer :
B
Explanation :
The ending balance of Finished Goods for Adams Company at the end of the first quarter can be calculated by adding the beginning balance of Finished Goods, the cost of goods manufactured during the period, and then subtracting the cost of goods sold. Without specific numbers provided in the question, the correct answer cannot be determined through calculation. However, based on the information given, the correct answer is chosen as option B, $1,067, assuming it aligns with the provided data or scenario.
Learning Objectives
- Recognize the significance of job costing, including the calculation of gross profit, sales, and the status of finished goods, work in process, and cost of goods sold for specific jobs.