Question

Zoolander Inc. manufacturers high end fashion accessories and has provided the following data for the latest quarter ended March​ 31st:

Beginning Inventory for Raw Materials	$60,000
Ending Inventory for Raw Materials	$50,600
Beginning Inventory for Work in Process	$87,000
Ending Inventory for Work in Process	$99,000
Beginning Inventory for Finished Goods	$47,000
Ending Inventory for Finished Goods	$53,000
Purchases of Raw Materials	$44,000
Wages paid to assembly line workers	$123,000
Wages paid to factory supervisor	$32,000
Property insurance paid on factory	$5,500
Utilities for the factory	$9,200
Indirect materials used in production	$3,100
Sales Revenue	​$525,000
General​ & Administrative Expenses	​$135,000

Calculate cost of goods manufactured for Zoolander​ Inc.'s first quarter.​ (Assume that indirect materials are not included in Raw Materials​ Inventory.)

Answer 1

Raw materials inventory, beginning	60000
Add: Purchases of raw materials	44000
Total raw materials available	104000
Deduct: Raw materials inventory, ending	50600
Raw materials used in production		53400
Direct labor		123000
Manufacturing overhead:
Wages paid to factory supervisor	32000
Property insurance paid on factory	5500
Utilities for the factory	9200
Indirect materials used in production	3100
Total Manufacturing overhead		49800
Total manufacturing costs		226200
Add: Beginning work in process inventory		87000
		313200
Deduct: Ending work in process inventory		99000
Cost of goods manufactured		214200