Question

Cost of Goods Manufactured and sold The following data relate to three independent production periods of Riverside Manufacturing Company. Missing data are indicated by question marks. A B C Materials: Beginning inventory $ 312 $ 984 5660 Purchases ? 4,200 3,000 Ending inventory 444 600 ? Total material used 1.980 ? 2,640 Direct labor 3,480 5,760 4,800 Manufacturing overhead: Indirect material 576 ? 720 Indirect labor 960 900 2,100 Other ? 1,200 2,040 Total manufacturing overhead 3,120 2,880 Work in process inventories: Beginning ? 540 1,560 Ending 420 ? 600 Finished goods inventories: Beginning ? 2,400 480 Ending 2,010 720 1,980 Cost of goods manufactured 8,304 ? ? Cost of goods sold 8,034 13,944 ? 8.034 12 Using the above data, determine the missing amounts. (You should set up a schedule of cost of goods manufactured and sold, fill in the known data, and calculate the missing amounts.) Do not use negative signs with any of your answers.

Answer 1

Correct Answer:

Schedule of cost of Goods Manufactured and sold
	A	B	C
Direct Materials
Beginning Material Inventory.	$                312	$                    984	$               660
Cost of Materials purchased	$            2,112	$                4,200	$           3,000
Cost of Material available	$            2,424	$                5,184	$           3,660
Less: Ending Material inventory	$                444	$                   600	$           1,020
Total material used	$            1,980	$                4,584	$           2,640
Less: Indirect Material used	$                576	$                    780	$               720
Direct Material used	$            1,404	$                3,804	$           1,920
Direct Labor	$            3,480	$                5,760	$           4,800
Manufacturing Overhead:
Indirect material	$                576	$                    780	$               720
Indirect labor	$                960	$                    900	$           2,100
Other	$            1,584	$                1,200	$           2,040
Total Manufacturing overhead	$            3,120	$               2,880	$           4,860
Total manufacturing cost	$            8,004	$              12,444	$         11,580
Add: Beg WIP inventory	$                720	$                    540	$           1,560
Total cost of work in process	$            8,724	$              12,984	$         13,140
Less: Ending WIP inventory	$                420	$                    720	$               600
Cost of goods Manufactured	$            8,304	$              12,264	$         12,540
Add: Beg Finished Goods Inventory	$            1,740	$                2,400	$               480
Cost of goods available	$          10,044	$              14,664	$         13,020
Less: Ending Finished goods inventory	$            2,010	$                    720	$           1,980
Cost of goods sold	$            8,034	$              13,944	$         11,040

End of answer.

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