Question

Complete these schedules using the numbers shown for 3M. The inventory balance for December 31, 2018 will be the beginning balances and the inventory balance for December 31, 2019 will be the ending balance. (28 points)

3M Company

                                                  Consolidated Balance Sheet

                                                            At December 31

(Dollars in millions, except per share amount)		2019			2018
Inventories
Finished goods			2,003			2,120
Work in process			1,194			1,292
Raw materials and supplies			937			954
Total inventories			4,134			4,366

Check figure: Cost of goods sold = $17,136

3M Company
Schedule of Cost of Goods Manufactured
for the year ended December 31, 2019
DIRECT MATERIAL
Beginning Raw materials inventory
Net delivered cost of materials purchased	4,344
Cost of materials available
Less: Ending Raw materials inventory
Direct materials used
DIRECT LABOR		2,060
FACTORY OVERHEAD		10,500
Total manufacturing costs for the year
Add: Beginning work-in-process inventory
Total cost of work-in-process during the year
Less: Ending work-in-process inventory
COST OF GOODS MANUFACTURED
3M Company
Schedule of Cost of Goods Sold
for the year ended December 31, 2019
Cost of goods manufactured
Add: Beginning finished goods inventory
Cost of goods available for sale
Less: Ending finished goods inventory
COST OF GOODS SOLD

                                                            

Answer 1

3M Company
Schedule of Cost of Goods Manufactured
for the year ended December 31, 2019
DIRECT MATERIAL
Beginning Raw materials inventory	954
Net delivered cost of materials purchased	4,344
Cost of materials available	5,298
Less: Ending Raw materials inventory	937
Direct materials used	4,361
DIRECT LABOR		2,060
FACTORY OVERHEAD		10,500
Total manufacturing costs for the year	16,921
Add: Beginning work-in-process inventory	1,292
Total cost of work-in-process during the year	18,213
Less: Ending work-in-process inventory	1,194
COST OF GOODS MANUFACTURED	17,019
3M Company
Schedule of Cost of Goods Sold
for the year ended December 31, 2019
Cost of goods manufactured	17,019
Add: Beginning finished goods inventory	2,120
Cost of goods available for sale	19,139
Less: Ending finished goods inventory	2,003
COST OF GOODS SOLD	17,136