Question

From the account balances listed below, prepare a schedule of cost of goods manufactured for Sampson Manufacturing Company for the month ended December 31, 2013. Account BalancesFinished goods inventory, December 31 $42,000Factory supervisory salaries 12,000Income tax expense 18,000Raw materials inventory, December 1 12,000Work in process inventory, December 31 15,000Sales salaries expense 14,000Factory depreciation expense 8,000Finished goods inventory, December 1 35,000Raw materials purchases 95,000Work in process inventory, December 1 20,000Factory utilities expense 6,000Direct labor 70,000Raw materials inventory, December 31 19,000Sales returns and allowances 5,000Indirect labor 21,000SAMPSON MANUFACTURING COMPANYCost of Goods Manufactured ScheduleFor the Month Ended December 31, 2013Work in process, December 31 ?Direct materials Raw materials inventory, December 1 ? Raw materials purchases ? ? ? Less: Raw materials inventory, December 31 ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?? ?? ?Less: Work in process, December 31 ?Cost of goods manufactured ?

Answer 1

Cost of goods manufactured 210,000

Step-by-step explanation:

SAMPSON MANUFACTURING COMPANY

Cost of Goods Manufactured Schedule

For the Month Ended December 31, 2013

Raw materials inventory, December 1: 12,000

+ Raw materials purchases 95,000

Less Raw materials inventory, December 31 19,000

Materials Used 88000

Direct labor 70,000

Prime Cost: 158000

Indirect labor 21,000

Factory supervisory salaries 12,000

Factory depreciation expense 8,000

Factory utilities expense 6,000

Total Manufacturing Costs 205,000

Add Work in process inventory, December 1 20,000

Cost of goods available for manufacturing 225,000

Less Work in process inventory, December 31 15,000

Cost of goods manufactured 210,000

Add Finished goods inventory, December 1 35,000

Cost of goods available for sale 245,000

Less Finished goods inventory, December 31 $42,000

Cost of goods sold 203,000

Sales returns and allowances 5,000 and Income tax expense 18,000 are included in the income statement

Answer 2

$210,000

Step-by-step explanation:

Preparation of a schedule of cost of goods manufactured for Sampson Manufacturing Company for the month ended December 31, 2013

SAMPSON MANUFACTURING COMPANY

Cost of Goods Manufactured Schedule

For the Month Ended December 31, 2013

Work in process inventory,December 1 $ 20,000

Direct materials :

Raw Materials Inventory, December 1 $ 12,000

Raw Materials Purchases $95,000

Raw materials avaialble for use $ 107,000

($12,000+$95,000)

Less Raw Materials Inventory, December 31 ($ 19,000)

Raw materials used in production $ 88,000

($107,000-$19,000)

Direct labor $ 70,000

Factory (or) Manufacturing overhead :

Factory Supervisory salaries $ 12,000

Factory Depreciation expense $ 8,000

Factory Utilities expense $ 6,000

Indirect labor $ 21,000

Total Factory (or) Manufacturing overhead $ 47,000

($12,000+$8,000+$6,000+$21,000)

Total Manufacturing cost $ 205,000

($88,000+$70,000+$47,000)

Total Cost of work in process $ $225,000

($20,000+$205,000)

Less: Work in process inventory, December 31 ($ 15,000)

Cost of Goods Manufactured$210,000

Therefore The cost of goods manufactured for Sampson Manufacturing Company for the month ended December 31, 2013 will be $210,000