Question

The following data were taken from the records of Clarkson Company for the fiscal year ended June 30, 2017 Raw Materials Inventory 7/1/16 Raw Materials Inventory 6/30/17 Finished Goods Inventory 7/1/16 Finished Goods Inventory 6/30/17 Work in Process Inventory 7/1/16 Work in Process Inventory 6/30/17 Direct Labor Indirect Labor Accounts Receivable $51,500 47,900 98,100 27,700 25,200 21,000 145,850 25,260 35,200 Factory Insurance Factory Machinery Depreciation Factory Utilities Office Utilities Expense Sales Revenue Sales Discounts Plant Manager's Salary Factory Property Taxes Factory Repairs Raw Materials Purchases Cash $5,400 17,200 29,000 9,050 561,600 4,900 61,200 9,710 1,700 98,500 37,200 Your answer is partially correct. Try again. Prepare a cost of goods manufactured schedule. (Assume all raw materials used were direct materials.) CLARKSON COMPANY Cost of Goods Manufactured Schedule For the Year Ended June 30, 2017 Work in Process Inventory, July 1, 2016 25,200 Direct Materials Raw Materials Inventory, July 1, 2016 51500 Raw Materials Purchases 98500 Total Raw Materials Available for Use 150000 Less Raw Materials Inventory, June 30, 2017 47900

Answer 1

Solution:

CLARKSON COMPANY
Cost of Goods Manufactured Schedule
For the year ended june30, 2017
Particulars	Amount ($)	Amount ($)
Working in Process Inventory 7/1/16		25,200
Direct materials:
Raw Materials Inventory 7/1/16	51,500
Raw Materials Purchases	98,500
Total Raw Materials Available for use	150,000
Less: Raw Materials Inventory 7/1/16	47,900
Direct Materials used		102,100
Direct Labor		145,850
Manufacturing Overhead:
Indirect Labor	25,260
Factory Insurance	5,400
Factory Machinery Depreciation	17,200
Factory Utilities	29,000
Plant Manager's Salary	61,200
Factory Property Taxes	9,710
Factory Repairs	1,700
Total Manufacturing Overhead		149,470
Total Manufacturing costs		397,420
Total Cost of Work in Process		422,620
Less: Work in Process Inventory 6/30/17		21,000
Cost of Goods Manufactured		401,620