Question

Statement of Cost of Goods Manufactured for a Manufacturing Company Cost data for Disksan Manufacturing Company for the month ended January 31 are as follows: Inventories Materials Work in process Finished goods January 1 $184,500 125,460 95,940 January 31 $156,830 106,640 105,080 Direct labor Materials purchased during January Factory overhead incurred during January: $332,100 354,240 Indirect labor Machinery depreciation Heat, light, and power Supplies Property taxes Miscellaneous costs 35,420 21,400 7,380 5,900 5,170 9,590

Answer 1

Diskan Manufacturing Company
statement of Cost of Goods Manufactured
For the month ended January 31
Beginning Work in process			$    1,25,460.00
Direct materials :
Raw material Inventory Beginning	$      1,84,500.00
Raw material Purchased	$      3,54,240.00
Raw material available for use	$      5,38,740.00
Less: Raw material Inventory Ending	$      1,56,830.00
Direct Material Used		$   3,81,910.00
Direct labor		$   3,32,100.00
Factory Overheads
Indirect labor	$         35,420.00
Machine depreciation	$         21,400.00
Heat, light , and power	$            7,380.00
Supplies	$            5,900.00
property taxes	$            5,170.00
Miscellaneous costs	$            9,590.00
Total Factory overheads		$       84,860.00
Total manufacturing cost incurred during January			$    7,98,870.00
Total manufacturing costs			$    9,24,330.00
Less: Ending WIP inventory			$    1,06,640.00
Cost of goods manufactured			$    8,17,690.00

Requirement 2

Cost of goods manufactured	$    8,17,690.00
Add: Beginning Finished goods inventory	$       95,940.00
Goods available for sale	$    9,13,630.00
Less: Ending Finished goods inventory	$    1,05,080.00
Cost of goods sold	$    8,08,550.00