Question

An analysis of the accounts of Roberts Company reveals the following manufacturing cost data for the month ended June 30, 2020.

Inventory		Beginning		Ending
Raw materials		$9,880		$15,510
Work in process		5,790		9,050
Finished goods		9,760		6,530

Costs incurred: raw materials purchases $57,720, direct labor $51,130, manufacturing overhead $23,970. The specific overhead costs were: indirect labor $7,090, factory insurance $4,160, machinery depreciation $4,900, machinery repairs $2,450, factory utilities $3,570, and miscellaneous factory costs $1,800. Assume that all raw materials used were direct materials.

(a) Prepare the cost of goods manufactured schedule for the month ended June 30, 2020.

Answer 1

The cost of goods manufactured schedule for the month ended June 30, 2020 is as follows:

	$	$
Direct Materials:
Begining raw material inventory	9,880
Add: Raw materials purchases	57,720
Raw materials available	67,600
Less: Ending raw material inventory	(15,510)
Raw materials used for production		52,090
Direct Labour		51,130
Factory Overhead:
Manufacturing overhead	23,970
Indirect labor	7,090
Factory insurance	4,160
Machinery depreciation	4,900
Machinery repairs	2,450
Factory utilities	3,570
Miscellaneous factory costs	1,800	47,940
Total Manufacturing Cost		151,160
Add: Work in process, Beginning		5,790
Less: Work in process, Ending		(9,050)
Cost of goods manufactured		$147,900