Question

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The following data is provided for Garcon Company and Pepper Company.

	Garcon Company					Pepper Company
Beginning finished goods inventory		$	14,000			$	17,650
Beginning work in process inventory			18,800				19,950
Beginning raw materials inventory (direct materials)			10,900				14,850
Rental cost on factory equipment			30,250				22,450
Direct labor			22,800				43,800
Ending finished goods inventory			20,150				14,300
Ending work in process inventory			22,900				21,800
Ending raw materials inventory			7,700				9,200
Factory utilities			12,450				16,750
Factory supplies used (indirect materials)			9,700				3,300
General and administrative expenses			35,000				51,500
Indirect labor			2,250				9,940
Repairs—Factory equipment			5,780				1,900
Raw materials purchases			47,000				60,000
Selling expenses			51,600				49,600
Sales			217,530				340,010
Cash			26,000				16,200
Factory equipment, net			272,500				169,825
Accounts receivable, net			16,200				23,950

Required:
1. Complete the table to find the cost of goods manufactured for both Garcon Company and Pepper Company for the year ended December 31, 2019.
2. Complete the table to calculate the cost of goods sold for both Garcon Company and Pepper Company for the year ended December 31, 2019.

Complete the table to find the cost of goods manufactured for both Garcon Company and Pepper Company for the year ended December 31, 2019.

	Garcon Company Pepper Company Direct materials Raw materials available for use Direct materials used Factory overhead Total factory overhead Total manufacturing costs Total cost of work in process Cost of goods manufactured

• Required 2

Complete the table to calculate the cost of goods sold for both Garcon Company and Pepper Company for the year ended December 31, 2019.

	Garcon Company Pepper Company Cost of goods available for sale Cost of goods sold

• Required 1

Answer 1

Answer-1)-

COST OF GOODS MANUFACTURED
COMPANY	GARCON	PEPPER
	$	$
Direct Material:-
Beginning raw materials inventory	10900	14850
Add-Raw materials purchases	47000	60000
Raw Material available for use	57900	74850
Less-Ending raw materials inventory	7700	9200
Direct Material use	50200	65650
Direct Labor	22800	43800
Factory Overhead:-
Rental cost on factory equipment	30250	22450
Factory utilities	12450	16750
Factory supplies used (indirect materials)	9700	3300
Indirect labor	2250	9940
Repairs—Factory equipment	5780	1900
Total factory overhead	60430	54340
Total manufacturing costs	133430	163790
Add: Beginning work in process inventory	18800	19950
Total cost of goods in process	152230	183740
Less: Ending work in process inventory	22900	21800
Cost of goods manufactured	129330	161940

2)-

COST OF GOODS SOLD
COMPANY	GARCON	PEPPER
	$	$
Beginning finished goods inventory	14000	17650
Add: Cost of goods manufactured	129330	161940
Cost of goods available for sale	143330	179590
Less: Ending finished goods inventory	20150	14300
Cost of goods sold	123180	165290