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 $30,000 $ 4,990 $58,600 $87,900 $ 4,040 Ending Inventories Raw materials Work in process Finished goods Beginning $ 11,500 $ 55,700 $ 33,100 $ 19,800 $ 69,800 $ 42,700 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 $ Direct materials: Beginning raw materials inventory Add: Purchases of raw materials Total raw materials available Less: Ending raw materials inventory Raw materials used in production Less: Indirect materials used in production Direct materials used in production Direct labor Manufacturing overhead 11,500 30,000 41,500 19,800 21,700 4,990 $ 16,710 Total manufacturing costs added to production Total manufacturing costs to account for 16.710 16,710 Cost of goods manufactured

Answer 1

a) statement of cost of goods manufactured direct materials raw materials inventory beginning 11500 add purchase of raw materials 30000 total materials available 41500 less raw materials inventory ending 19800 Raw materials used in production 21700 less indirect materials used in production 4990 direct materials used in production direct labor manufacturing overhead total manufacturing cost add work in process inventory beginning total manufacturing costs added to production deduct work in process inventory ending cost of goods manufactured 16710 58600 87900 163210 55700 218910 69800 149110 149110 b)schedule of cost of goods sold cost of goods manufactured add beginning finished goods inventory cost of goods available deduct ending finished goods inventory cost of goods sold before overhead applied adjustment add underapplied overhead cost of goods sold 33100 182210 42700 139510 4040 143550