Question

The following selected account balances are provided for Delray Mfg.

Sales	$	1,132,000
Raw materials inventory, Dec. 31, 2016		37,000
Work in process inventory, Dec. 31, 2016		54,100
Finished goods inventory, Dec. 31, 2016		64,400
Raw materials purchases		174,100
Direct labor		232,000
Factory computer supplies used		19,000
Indirect labor		46,000
Repairs—Factory equipment		5,250
Rent cost of factory building		51,000
Advertising expense		89,000
General and administrative expenses		132,000
Raw materials inventory, Dec. 31, 2017		49,200
Work in process inventory, Dec. 31, 2017		42,000
Finished goods inventory, Dec. 31, 2017		69,600

Prepare its schedule of cost of goods manufactured for the year ended December 31, 2017.

DELRAY MFG Schedule of Cost of Goods Manufactured For Year Ended December 31, 2017 Direct materials Raw materials available for use Direct materials used Factory overhead: Total factory overhead costs Total manufacturing costs Total cost of work in process Cost of goods manufactured

Answer 1

161900 232000 Delray Mfg Cost of goods Manufactured Schedule For the year Ended December 31, 2017 Direct Materials Raw material, December 31, 2016 37000 Raw material purchased 174100 Total raw materials available for use 211100 Less: Raw material, December 31, 2017 49200 Direct Materials used Direct labor Factory overhead: Facory computer supplies used 19000 Indirect labor 46000 Repairs - Factory equipment Rent cost of factory building 51000 Total factory over head Total manufacturing costs Add: Work in process, December 31, 2016 Total cost of work in process Less: Work in process, December 31, 2017 Cost of goods Manufactured 5250 1212501 515150 54100 569250 42000 527250