Question

The following information is available for Riverbed Company. January 1, 2017 2017 December 31, 2017 Raw materials inventory $25,160 $35,610 Work in process inventory 15,070 18,280 Finished goods inventory 27,770 23,410 Materials purchased $154,800 Direct labor 223,070 Manufacturing overhead 182,060 Sales revenue 905,590

(a) Compute cost of goods manufactured. Riverbed Company Cost of Goods Manufactured Schedule Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory, 1/1Finished Goods Inventory, 12/31 $ Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory, 1/1Finished Goods Inventory, 12/31     Cost of Goods Manufactured    Direct Labor    Direct Materials    Direct Materials Used    Manufacturing Overhead    Materials Available for Use    Raw Materials Inventory, 1/1    Raw Materials Inventory, 12/31    Materials Purchased    Total Cost of Work-in-Process    Total Manufacturing Costs    Work-in-Process, 1/1    Work-in-Process, 12/31    Finished Goods Inventory , 1/1    Finished Goods Inventory , 12/31     $     Cost of Goods Manufactured    Direct Labor    Direct Materials    Direct Materials Used    Manufacturing Overhead    Materials Available for Use    Raw Materials Inventory, 1/1    Raw Materials Inventory, 12/31    Materials Purchased    Total Cost of Work-in-Process    Total Manufacturing Costs    Work-in-Process, 1/1    Work-in-Process, 12/31    Finished Goods Inventory , 1/1    Finished Goods Inventory , 12/31         Cost of Goods Manufactured    Direct Labor    Direct Materials    Direct Materials Used    Manufacturing Overhead    Materials Available for Use    Raw Materials Inventory, 1/1    Raw Materials Inventory, 12/31    Materials Purchased    Total Cost of Work-in-Process    Total Manufacturing Costs    Work-in-Process, 1/1    Work-in-Process, 12/31    Finished Goods Inventory , 12/31    Finished Goods Inventory , 1/1         Add    Less     : Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 1/1Finished Goods Inventory , 12/31 Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 12/31Finished Goods Inventory , 1/1 $ Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 1/1Finished Goods Inventory , 12/31 Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 12/31Finished Goods Inventory , 1/1 Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 1/1Finished Goods Inventory , 12/31 Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 12/31Finished Goods Inventory , 1/1 AddLess : Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 1/1Finished Goods Inventory , 12/31 Cost of Goods ManufacturedDirect LaborDirect MaterialsDirect Materials UsedManufacturing OverheadMaterials Available for UseRaw Materials Inventory, 1/1Raw Materials Inventory, 12/31Materials PurchasedTotal Cost of Work-in-ProcessTotal Manufacturing CostsWork-in-Process, 1/1Work-in-Process, 12/31Finished Goods Inventory , 12/31Finished Goods Inventory , 1/1 $

Answer 1

Schedule of cost of goods manfactured: Raw material inventory 1/1 Add: Materials Purchased Materials available for use Less: Raw material inventory 12/31 Raw materials used in production Add Direct labour Add : Manfacturing overhead Total manfacturing costs Add: Work in process inventory 1/1 Less : work in process inventory 31/12 Cost of goods manfactured $ 25,160.00 $ 154,800.00 $ 179,960.00 $ (35,160.00) $ 144,800.00 $ 223,070.00 $ 182,060.00 $ 549,930.00 $ 15,070.00 $ (18,280.00) $ 546,720.00