On may 10, 2017, cosmo co. enters into a contract to deliver a product to greig inc. on june 15, 2017. greig agrees to pay the full contract price of $2,000 on july 15, 2017. the cost of the goods is $1,300. cosmo delivers the product to greig on june 15, 2017, and receives payment on july 15, 2017. prepare the journal entries for cosmo related to this contract. either party may terminate the contract without compensation until one of the parties performs.

Kinc. has provided the following data for the month of may: inventories: beginning ending work in process $ 17,000 $ 12,000 finished goods $ 46,000 $ 50,000 additional information: direct materials $ 57,000 direct labor cost $ 87,000 manufacturing overhead cost incurred $ 63,000 manufacturing overhead cost applied to work in process $ 61,000 any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold. the adjusted cost of goods sold that appears on the income statement for may is: