Question

15 Requirements: Prepare the schedule of cost of goods manufactured and cost of goods sold. Data: Raw Materials Inventory, Jan. 1 $10 Raw Materials Inventory, Dec. 31 Work-in-Process Inventory, Jan. 1 Work-in-Process Inventory, Dec. 31 Finished Goods Inventory, Jan. 1 Finished Goods Inventory, Dec. 31 Raw Materials Purchased, incl. freight 30 Direct Labor 40 Manufacturing (factory) Overhead Schedule of Costs of Goods Manufactured Year Ended December 31, 2018 Beginning Work-in-Process Direct Materials Used: Beginning Raw Materials Inventory Purchased of Raw Materials (freight included) Raw Materials Available for Use Ending Raw Material Inventory Direct Materials Used S 36 Direct Labor Manufacturing (factory) Overhead Total Manufacturing Costs Incurred during the year Total Manufacturing Costs to Account For Ending Work in Progress Inventory Cost of Goods Manufactured Schedule of Cost of Goods Sold Year Ended December 31, 2018 $ 11 Beginning Finished Goods Inventory Cost of Goods Manufactured Cost of Goods Available for Sale Ending Finished Goods Inventory Cost of Goods Sold 96

Answer 1

1)

Schedule of Cost of Goods Manufactured
Year Ended December 31, 2018
Beginning work in process			$15
Direct materials used:
Beginning raw materials inventory	$10
Purchases of raw materials (freight included)	30
Raw materials available for use	1.  40
Ending raw materials inventory	(4)
Direct materials used		36
Direct labor		40
Manufacturing (factory) overhead		30
Total manufacturing costs incurred during the year			106
Total manufacturing costs to account for			121
Ending work in process inventory			(22)
Cost of goods manufactured			$99

Schedule of Cost of Goods Sold
Year Ended December 31, 2018
Beginning finished goods inventory	$11
Cost of goods manufactured	99
Cost of goods available for use	2. 110
Ending finished goods inventory	(14)
Cost of goods sold	$96

2)

Schedule of Cost of Goods Manufactured
Year Ended December 31, 2018
Beginning work in process			$12
Direct materials used:
Beginning raw materials inventory	6
Purchases of raw materials (freight included)	30
Raw materials available for use	36
Ending raw materials inventory	(10)
Direct materials used		3.  26
Direct labor		56
Manufacturing (factory) overhead		25
Total manufacturing costs incurred during the year			107
Total manufacturing costs to account for			4. 119
Ending work in process inventory			(21)
Cost of goods manufactured			$98

Income Statement
Year Ended December 31, 2018
Sales revenue		$275
Cost of goods sold:
Beginning finished goods inventory	8
Cost of goods manufactured	5. 98
Cost of goods available for use	106
Ending finished goods inventory	(14)
Cost of goods sold		92
Gross profit		183
Selling expense		(82)
Net income (loss)		$6. 101