Question

Statement of Cost of Goods Manufactured for a Manufacturing Company Cost data for Disksan Manufacturing Company for the month ended January 31 are as follows: Inventories January 1 January 31 Materials $227,250 156,800 115,900 $195,440 134,850 Work in process Finished goods 132,900 $409,050 436,320 Direct labor Materials purchased during January Factory overhead incurred during January: Indirect labor 43,630 26,360 Machinery depreciation Heat, light, and power 9,090 Supplies 7,270 Property taxes 6,360 Miscellaneous costs 11,820 a. Prepare a cost of goods manufactured statement for January. Disksan Manufacturing Company Statement of Cost of Goods Manufactured For the Month Ended January 31 Direct materials:

Answer 1

Answer-a)-

DISKSAN MANUFACTURING COMPANY
COST OF GOODS MANUFACTURED
FOR THE MONTH ENDED JANUARY 31
Particulars	Amount	Amount
	$	$
Beginning raw materials	227250
Purchases	436320
Less- Ending raw material	195440
Material used		468130
Direct Labor		409050
Factory Overhead:-
Indirect labor	43630
Machinery depreciation	26360
Heat,light & power	9090
Supplies	7270
Property taxes	6360
Miscellaneous costs	11820	104530
Total manufacturing costs		981710
Add- Beginning work in process		156800
Total cost of goods in process		1138510
Less: Ending goods in process inventory		134850
Cost of goods manufactured		1003660

b)-

DISKSAN MANUFACTURING COMPANY
COST OF GOODS SOLD
FOR THE MONTH ENDED JANUARY 31
PARTICULARS	Amount	Amount
	$	$
Cost of goods sold
Beginning finished goods inventory	115900
Add: Cost of goods manufactured	1003660
Cost of goods available for sale	1119560
Less: Ending finished goods inventory	132900
Cost of goods sold		986660