Question

The controller of MingWare Ceramics Inc. wishes to prepare a cost of goods sold budget for September. The controller assembled the following information for constructing the cost of goods sold budget:

Direct materials:	Enamel		Paint		Porcelain		Total
Total direct materials purchases budgeted for September	$28,550		$6,000		$111,350		$145,900
Estimated inventory, September 1	2,410		5,780		9,640		17,830
Desired inventory, September 30	2,970		2,700		7,130		12,800
Direct labor cost:	Kiln Department		Decorating Department				Total
Total direct labor cost budgeted for September	$46,520		$134,910				$181,430
Finished goods inventories:	Dish		Bowl		Figurine		Total
Estimated inventory, September 1	$6,060		$3,450		$2,850		$12,360
Desired inventory, September 30	3,880		4,790		4,550		13,220
Work in process inventories:
Estimated inventory, September 1	$3,700
Desired inventory, September 30	2,060
Budgeted factory overhead costs for September:
Indirect factory wages	$79,400
Depreciation of plant and equipment	13,710
Power and light	5,900
Indirect materials	3,490
Total	102,500

Use the preceding information to prepare a cost of goods sold budget for September. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

MingWare Ceramics Inc.
Cost of Goods Sold Budget
For the Month Ending September 30
			$
		$
Direct materials:
	$
	$
	$
Direct labor
		$
Work in process inventory, September 30
			$
			$

Answer 1

MingWare Ceramics Inc.
Cost of Goods Sold Budget
For the Month Ending September 30
Finished goods inventories, September 1, 2014			12,360
Work in process inventories, September 1, 2014		3,700
Direct materials:
Direct materials inventory, September 1, 2014	17,830
Direct materials purchases	145,900
Cost of direct materials available for use	163,730
Less: Direct materials inventory, September 30, 2014	12,800
Cost of direct materials placed in production	150,930
Direct labor	181,430
Factory overhead	102,500
Total manufacturing costs		434,860
Total work in process during the period		438,560
Less: Work in process inventories, September 30, 2014		2,060
Cost of goods manufactured			436,500
Cost of finished goods available for sale			448,860
Less: Finished goods inventories, September 30, 2014			13,220
Cost of Goods Sold			435,640