Final answer:
To prepare the cost of goods manufactured schedule, calculate the total manufacturing costs incurred during the month. Then, subtract the work in process inventory at the beginning of the month and add the work in process inventory at the end of the month. The cost of goods manufactured for June 2020 is $80,300.
Step-by-step explanation:
To prepare a cost of goods manufactured schedule for June 2020, we need to calculate the total manufacturing costs incurred during the month. The cost of goods manufactured is the sum of direct materials used, direct labor, and manufacturing overhead. Here is the step-by-step calculation:
- Add the cost of direct materials used, which is $22,910.
- Add the cost of direct labor, which is $41,860.
- Add the manufacturing overhead, which includes indirect factory labor ($5,000), factory utilities ($430), depreciation on factory equipment ($1,790), maintenance on factory equipment ($1,960), indirect materials ($2,540), and the factory manager's salary ($3,330). The total manufacturing overhead is $15,050.
- The sum of these costs gives us the total manufacturing costs of $79,820.
- Next, subtract the work in process inventory at the beginning of the month ($3,690) from the total manufacturing costs to get the cost of goods started during the month. This gives us $76,130.
- Finally, add the work in process inventory at the end of the month ($4,170) to the cost of goods started during the month to get the cost of goods completed during the month. This gives us $80,300.
Therefore, the cost of goods manufactured for June 2020 is $80,300.