Question

Urgent need help ...please read the below Case and answer the required questions :

Cornelius Company produces women's clothing. During the year, the company incurre Factory rent Direct labor Utilities-factory Purchases of direct materials Indirect materials Indirect labor $ 410,000 360,000 46,000 605,000 83,000 72,000 Inventories for the year were as follows: Materials Work-in-Process Finished Goods January 1 $ 35,000 50,000 155,000 December 31 $ 55,000 44,000 86,000

Answer 1

Statement of cost of goods manufactured
Direct materials
Beginning Inventory	35,000
Purchases during the year	605,000
Material Available	640,000
Less: ending Inventory	55,000
Material used		585,000
Direct labor cost		360,000
Factory overhead
Factory rent	410,000
Utilities - factory	46,000
Indirect material	83,000
Indirect labor	72,000
Total factory overhead		611,000
Total manufacturing cost		1,556,000
Add: Beginning work in process inventory		50,000
Total manufacturing cost		1,606,000
Less: ending Inventory		44,000
Total goods produced		1,562,000
Add: Beginning FG inventory		155,000
Cost of goods available		1,717,000
Less: ending Inventory		86,000
COST of goods sold		1,631,000