Answer:
Explanation:
To determine the cost of goods manufactured, we need to add up the total manufacturing costs incurred during the month and subtract the cost of work in process inventory on March 1, then add the cost of work in process inventory on March 31:
Total Manufacturing Costs = Cost of Direct Materials Used + Direct Labor + Factory Overhead
Total Manufacturing Costs = $18,435 + $26,510 + $37,267
Total Manufacturing Costs = $82,212
Cost of Goods Manufactured = Total Manufacturing Costs - Work in Process Inventory, March 1 + Work in Process Inventory, March 31
Cost of Goods Manufactured = $82,212 - $15,183 + $21,746
Cost of Goods Manufactured = $88,775
Therefore, the cost of goods manufactured for the month of March is $88,775.
To determine the cost of goods sold, we need to calculate the cost of goods available for sale, which is the sum of the cost of goods manufactured and the cost of finished goods inventory on March 1, and then subtract the cost of finished goods inventory on March 31:
Cost of Goods Available for Sale = Cost of Goods Manufactured + Finished Goods Inventory, March 1
Cost of Goods Available for Sale = $88,775 + $21,407
Cost of Goods Available for Sale = $110,182
Cost of Goods Sold = Cost of Goods Available for Sale - Finished Goods Inventory, March 31
Cost of Goods Sold = $110,182 - $26,154
Cost of Goods Sold = $84,028
Therefore, the cost of goods sold for the month of March is $84,028.