Question

Q5. Dreams Manufacturing, Inc. provided the following information for the year: Purchases Raw Materials $270.000 Plant Utilities and Insurance 202.500 Indirect Materials 35,250 Indirect Labor 14.250 Ending Balance - Work-in-Process Inventory 42.000 Ending Balance-Raw Materials Inventory 45.000 Direct Labor 352,500 Depreciation on Factory Plant and Equipment 18,000 Beginning Balance Work-in-Process Inventory 18,000 Beginning Balance Raw Materials Inventory 63,000 Required: Prepare a statement of the cost of goods manufactured using the following format: Schedule of Cost of Goods Manufactured Beginning Work-in-Process Inventory Direct Materials Used: Beginning Raw Materials Inventory Purchases of Raw Materials Raw Materials Available for Use Ending Raw Materials Inventory Direct Materials Used Direct Labor Manufacturing Overhead: Indirect Materials Indirect Labor Depreciation--Plant and Equip. Plant Utilities and Insurance Total Manufacturing Overhead Total Manufacturing Costs Incurred During the Year Total Manufacturing Costs to Account For Ending Work-in-Process Inventory Cost of Goods Manufactured

Answer 1

Schedule of Cost of Goods Manufactured
Beginning work in process inventory			18000
Direct Materials Used:
Beginning raw materials inventory	63000
Purchases of raw materials	270000
Raw materials available for use	333000
Ending raw materials inventory	45000
Direct materials used		288000
Direct labor		352500
Manufacturing Overhead:
Indirect materials	35250
Indirect labor	14250
Depreciation - plant & equip.	18000
Plant utilities & insurance	202500
Total manufacturing overhead		270000
Total manufacturing costs incurred during the year			910500
Total manufacturing costs to account for			928500
Ending work in process inventory			42000
Cost of goods manufactured			886500