Question

eck Manufacturing reports the following information in T-account form for 2019. Raw Materials Inventory Begin. Inv. 10,300 Purchases 47,500 Avail. for use 57,800 DM used 51,000 End. Inv. 6,800 Work in Process Inventory Begin. Inv. 17,000 DM used 51,000 Direct labor 34,500 Overhead 64,000 Manuf. costs 166,500 Cost of goods manuf. 153,000 End. Inv. 13,500 Finished Goods Inventory Begin. Inv. 20,200 Cost of goods manuf. 153,000 Avail. for sale 173,200 Cost of Goods Sold 152,300 End. Inv. 20,900 Required: 1. Prepare the schedule of cost of goods manufactured for the year. 2. Compute cost of goods sold for the year.

Answer 1

A.$153,000

B.152,300

Step-by-step explanation:

A. Preparation for the schedule of cost of goods manufactured for the year

Schedule cost of goods manufactured

Direct material 51,000

Direct labor 34,500

Overhead 64,000

Total manufacturing cost 149,500

Beginning work in process 17,000

Total Cost of work in process 166,500

Less: Ending work in process (13,500)

Cost of goods manufactured $153,000

(166,500-13,500)

B. Computation for cost of goods sold for the year.

Schedule of cost of goods sold

Beginning finished goods 20,200

Cost of goods manufactured 153,000

Cost of goods available for sale 173,200

(153,000+20,200)

Less; Ending finished goods (20,900)

Cost of goods sold $152,300

(173,200-20,900)

Therefore the schedule of cost of goods manufactured for the year will be $153,000 while the cost of goods sold for the year will be $152,300