Question

Bledsoe Corporation has provided the following data for the month of November:

	Beginning		Ending
Raw materials	$	26,700	$	22,700
Work in process	$	18,700	$	11,700
Finished Goods	$	49,700	$	57,700

Additional information:

Raw materials purchases	$	73,700
Direct labor cost	$	93,700
Manufacturing overhead cost incurred	$	43,870
Indirect materials included in manufacturing overhead cost incurred	$	4,170
Manufacturing overhead cost applied to Work in Process	$	42,700

Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.

Required:

Prepare a Schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold.

BLEDSOE CORPORATION Schedule of Cost of Goods Manufactured Direct materials: Raw materials available for use Raw materials used in production Total manufacturing costs Cost of goods manufactured

Answer 1

BLEDSOE CORPORATION
Schedule of Cost of Goods Manufactured
Direct Material
Raw material Inventory Beginning	$          26,700.00
Raw material Purchased	$          73,700.00
Raw material available for use	$       1,00,400.00
Less: Raw material Inventory Ending	$          22,700.00
Direct Material Used		$        77,700.00
Direct labor		$        93,700.00
Manufacturing overheads applied		$        42,700.00
Total manufacturing Cost		$    2,14,100.00
Add: Work in process Beginning		$        18,700.00
Total Work in Process		$    2,32,800.00
Less: Work in process Ending		$        11,700.00
Cost of Goods Manufactured		$    2,21,100.00

BLEDSOE CORPORATION
Schedule of cost of good sold
Beginning Finished Goods Inventory		$        49,700.00
Cost of Goods manufactured		$    2,21,100.00
Goods Available for sale		$    2,70,800.00
Less :Ending Finished goods Inventory		$        57,700.00
Unadjusted Cost of Goods Sold		$    2,13,100.00
Underapplied Manufacturing Overheads		$          1,170.00
Adjusted Cost og Goods sold		$    2,14,270.00