Question

Required information (The following information applies to the questions displayed below] Alexandria Aluminum Company, a manufacturer of recyclable soda cans, had the following inventory balances at the beginning and end of 20xL January 2011 Inventory classification av saterial Work in process Finished goods $5,000 Dece111 $ 70.000 115.000 120.000 160,000 During 20xt, the company purchased $250,000 of raw material and spent $400,000 on direct labot Manufacturing Overhead costs were as follows Sales revenue was $100.000 for the year. Selling and administrative expenses for the year amounted to $110.000. The t 's that is 40 percent Required: 1. Prepare a schedule of cost of goods manufactured < Prev 4 of 4 !! Next >

Answer 1

SCHEDULE OF GOODS MANUFACTURED Direct Materials Beginning Raw Material Inventory $ 55,000.00 Add: Cost of raw material purchased $2,50,000.00 Total raw material available $ 3,05,000.00 Less: Ending Raw material Inventory | $ 70,000.00 Total Raw material used $ 2,35,000.00 Direct Labor $ 4,00,000.00 Manufacturing Overheads Indirect Material | $ 11,000.00 Indirect labor $ 26,000.00 Depreciation on plant & equipment $ 1,00,000.00 Utilities $ 23,000.00 Others $ 30,000.00 Total Overhead Costs $ 1,90,000.00 Total manufacturing costs $ 8,25,000.00 Add: Beginning Work in progress $ 1,20,000.00 $ 9,45,000.00 Less: Closing work in progress $ 1,15,000.00 Cost of goods manufactured $ 8,30,000.00