Question

Statement of Cost of Goods Manufactured for a Manufacturing Company Cost data for Johnstone Manufacturing Company for the month ended March 31 are as follows: March 1 March 31 Inventories Materials $182,000 $163,800 Work in process 123,760 111,380 Finished goods 94,640 111,380 Direct labor $327,600 Materials purchased during March 349,440 Factory overhead incurred during March: Indirect labor 34,940 Machinery depreciation 21,110 Heat, light, and power 7,280 Supplies 5,820 Property taxes 5,100 Miscellaneous costs 9,460 a. Prepare a cost of goods manufactured statement for March. Johnstone Manufacturing Company Statement of Cost of Goods Manufactured For the Month Ended March 31

Answer 1

Ans:

a. Prepare a cost of goods manufactured statement for March
F. Mills Manufacturing Company
Statement of Cost of Goods Manufactured
For the Month Ended March 31
Work in process inventory, March 1			123760
Direct materials:
Materials inventory, March 1	182000
Purchases	349440
Materials inventory, March 31	-163800	367640
Direct Labour		327600
Factory overhead:
Indirect labor	34940
Machinery depreciation	21110
Heat, light, and power	7280
Supplies	5820
Property taxes	5100
Miscellaneous costs	9460
Total factory overhead		83710
Total manufacturing costs incurred during March			778950
Total manufacturing costs			902710
Less: Ending work in process			-111380
Cost of goods manufactured			791330
Cost of goods sold = 94640+791330-111380 = 774590