Question

Compute the Cost of Goods Manufactured and Cost of Goods Sold for Quality Acquatic Company for the most recent year using the amounts described next. Assume that Raw Materials Inventory contains only direct materials EEB (Click the icon to view the data.) Start the calculation for cost of goods manufactured by calculating the direct materials used. Quality Acquatic Company Calculation of Direct Materials Used For Current Year Data Table End of Year $ 9,000 $12,500 $4,300 $ 79,000 $ 29,500 Beginning End of of Year $23,000 S 26,000nurance on plant $35,000 S 29,000 Depreciation-plant building and equipment $19,000 S 28,000 Repairs and maintenance-planl Year Beginning raw materials inventory Beginning work in process inventory Cost of goods manufactured Direct labor Ending raw materials inventory Ending work in process inventory Manufacturing overhead Materials available for use Purchases of direct materials Total manufacturing costs incurred during the period Total manufacturing costs to account for Raw materials inventory Work in process invenfory Finished goods inventory Purchases of direct materials Direct labor Indirect labor 72,000 Marketing expenses S 86,000 General and administrative expenses S 39,000 Print Done

Answer 1

Quality Acquitic Company
Calculation of direct material used
For the current year
Raw Material
Raw material Inventory Beginning	$          23,000.00
Raw material Purchased	$          72,000.00
Raw material available for use	$          95,000.00
Less: Raw material Inventory Ending	$          26,000.00
Raw Material Used		$        69,000.00

Quality Acquitic Company
Schedule of Cost of Goods Manufactured
For the current year
Direct Material
Raw material Inventory Beginning	$          23,000.00
Raw material Purchased	$          72,000.00
Raw material available for use	$          95,000.00
Less: Raw material Inventory Ending	$          26,000.00
Direct Material Used		$        69,000.00
Direct labor		$        86,000.00
Manufacturing Overheads
Indirect Labor	$          39,000.00
insurance on Plant	$             9,000.00
Depreciation-Plant Building and equipment	$          12,500.00
Repairs and maintenance - Plant	$             4,300.00
Total Manufacturing Overheads		$        64,800.00
Total manufacturing Cost incurred during the period		$    2,19,800.00
Add: Work in process Beginning		$        35,000.00
Total Manufacturing cost to account for		$    2,54,800.00
Less: Work in progress Ending		$        29,000.00
Cost of Goods Manufactured		$    2,25,800.00