Question

Primare Corporation has provided the following data concerning last month's manufacturing operations. Purchases of raw materials Indirect materials used in production Direct labor Manufacturing overhead applied to work in process Underapplied overhead $32,000 $ 4,600 $58,800 $88,300 $ 4,060 Inventories Raw materials Work in process Finished goods Beginning $ 10,600 $ 54,700 $ 33,200 Ending $ 18, 800 $ 68,300 $ 42,100 Required: 1. Prepare a schedule of cost of goods manufactured for the month. 2. Prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a schedule of cost of goods manufactured for the month. Primare Corporation Schedule of Cost of Goods Manufactured

Answer 1

Requirement 1:

Primare Corporation
Schedule of Cost of Goods Manufactured
Work in Process inventory, beginning			$ 54,700
Direct Materials:
Raw Materials Inventory, beginning	$ 10,600
Raw Materials Purchases	$ 32,000
Raw materials available	$ 63,000
Raw Materials Inventory, ending	($ 18,800)
Raw materials used in production	$ 44,200
Indirect materials	($ 4,600)
Direct Materials Used		$ 39,600
Direct Labor		$ 58,800
Manufacturing Overhead Applied		$ 88,300
Total Manufacturing Costs			$ 186,700
Total Cost of Work in Process			$ 241,400
Less: Work in process inventory, ending			($ 68,300)
Cost of goods Manufactured			$ 173,100

Requirement 2:

Primare Corporation
Schedule of Cost of Goods Sold
Cost of Goods Manufactured	$ 173,100
Add Beginning Finished Goods Inventory	$ 33,200
deduct: Ending finished goods inventory	($ 42,100)
Cost of goods sold before adjustments	$ 164,200
Add: Manufacturing overhead under applied	$ 4,060
Cost of goods sold	$ 168,260