FS -­‐ Financial

 Statement <  Name  of  Company  >            <  Name  of  Company  >
heading Balance  Sheet heading                        Income  Statement
BS -­‐ Balance  Sheet As  of  <date> For  the  period  ending  f  <date> CGM
-­‐ Statement  of  Condition
Format: Format: Sales Format: WIP  Invty,  beg
   

A   L  
IS -­‐ Income  Statement     Merchanding Less:    CGS Manufacturing Add:    TMC
-­‐ Profit  &  Loss  Statement C   & GP CGM WIP  for  the  period
-­‐ Statement  of  Income  &  Expenses   Manufacturing Less:    Oprtng  Exp Cost  of  Goods Less:    WIP  Invty,  end
         OR Less:    SE Manufactured CGM
A -­‐ Assets  
Less:    AE
A  
L -­‐ Liabilities  
EBIT/OI TMC TMC
C -­‐ Capital/  Owner's  Equity/  Stockholder's  Equity L   Less:    Interests Total  Manufacturing DM
  Less:    Taxes Cost Add:    DL
CGS -­‐ Cost  of  Goods  Sold C   NI Add:    MOH
GP -­‐ Gross  Profit   TMC
OPERATING  EXPENSES  =  SE  +  AE CGS
SE -­‐ Selling  Expenses RM  used  for  production  /  DM
AE -­‐ Administrative  Expenses Merchanding Manufacturing Merchanding Manufacturing
EBIT -­‐ Earnings  Before  Interest  &  Taxes Invty,  beg FG  Invty,  beg RM  Invty,  beg
OI -­‐ Operating  Income Assets: Assets: Add:    Pur Add:    CGM Add:    RM  Pur
NI -­‐ Net  Income Current  Assets Current  Assets AFS AFS Available  for  use  in  production
Cash Cash Less:    Invty,  end Less:    FG  Invty,  end Less:    RM  Invty,  end
beg -­‐ beginning Receivables Receivables CGS CGS RM  used  for  production  /  DM
end -­‐ ending Inventory Inventory
Invty -­‐ Inventory Raw  Materials
Pur -­‐ Purchases Work-­‐in-­‐Process PRODUCT  COSTS = TMC
AFS -­‐ Available  For  Sale Finished  Goods PRIME  COSTS DM
 
CONVERSION  COSTS  
Add:    DL
 
FG -­‐ Finished  Goods Computations  as  a  percentage  of  Sales: example Add:    MOH =  Indirect  Costs
 
WIP -­‐ Work-­‐In-­‐Process 100% Sales 100% TMC
RM -­‐ Raw  Materials  (  %  of  Sales) Less:    CGS 070%
GP 030% PRODUCT  COSTS  = TMC  = DM  +  DL  +  MOH
DM -­‐ Direct  Materials DIRECT  /  PRIME  COSTS  = DM  +  DL
DL -­‐ Direct  Labor CONVERSION  COSTS  = DL  +  MOH
MOH -­‐ Manufacturing  Overhead

ACCTBA3  -­‐  COST  CONCEPTS