Lesson 5: Manufacturing Business– Sole proprietorship 2011

Lesson 5

i) Set up a new company with the following details:

a. Company name: Star Cosmetics Factory
b. Address line 1: Airport Road
c. City, state, Zip: Hargeisa, MJ, 252
d. Country: Somaliland
e. Telephone: 252-2-527566
f. Type: Sole Proprietorship
ii) Add new customer with the following details:
a. Customer Name: Al-Ikhwa General Trading
b. Customer ID: AL-IKHWA
iii) Add new Vendors with the following details:
a. Vendor name: ABC COMPANY
b. Vendor ID: ABC
iv) Add Raw Material items with the following details
a) ID: 001 Name: Purified Water
b) ID: 002 Name: GUAR
c) ID: 003 Name: CMEA
v) Add Finished Goods item with the following details:
ID: SHPO Name: SHAMPOO-A Item class: Assembly
Bill of Materials
Item ID Description Quantity Needed
001 Purified Water 0.16
002 GUAR 0.45
003 CMEA 0.45

vi) Record the following transactions:

a. The owner invested $10,000 cash to the business.
b. Purchased the following Raw Materials from ABC Company:
Item Qty Unit cost
Purified water 10 $0.5
Guar 5 $10
CMEA 5 $10

c. Assembled 5 units of SHAMPOO-A

d. Sold 2 units of SHAMPOO-A to Al-Ikhwa G. Trading at $15 per unit.

Lesson 5: Manufacturing Business– Sole proprietorship Set by: Abdisalam Ali Mahdi