Question

Marcelino Co.'s March 31 inventory of raw materials is $87,000. Raw materials purchases in April are $530,000, and factory payroll cost in April is $378,000. Overhead costs incurred in April are: indirect materials, $59,000; indirect labor, $21,000; factory rent, $36,000; factory utilities, $21,000; and factory equipment depreciation, $56,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $650,000 cash in April. Costs of the three jobs worked on in April follow.

	Job 306				Job 307				Job 308
Balances on March 31
Direct materials		$	28,000			$	45,000
Direct labor			24,000				16,000
Applied overhead			12,000				8,000
Costs during April
Direct materials			137,000				215,000			$	105,000
Direct labor			101,000				151,000				105,000
Applied overhead			?				?				?
Status on April 30	Finished (sold)				Finished (unsold)					In process

rev: 03_15_2018_QC_CS-121813

3. Prepare a schedule of cost of goods manufactured.

Answer 1

Schedule of cost of goods manufactured.

Sr.No.	Particulars	Job 306	Job 307	Job 308	Total
A	From March
	Direct Labor	$28000	$45000	0	$73,000
	Direct Material	$24000	$16000	0	$40,000
	Applied Overhead	$12000	$8000	0	$20,000
	Total Beginning work in progress(A)	$64000	$69000	0	$133,000
B	For April
	Direct Material	$137,000	$215,000	$105,000	$457,000
	Direct Labor	$101,000	$151,000	$105,000	$357,000
	Applied Overhead(50% of Direct Labor)	$50,500	$75,500	$52,500	$178,500
	Total Cost Added In April(B)	$288,500	$441,500	$262,500	$992,500
C	Total Cost(A+B)	$352,500	$510,500	$262,500	$11,25,500
D	Status	Finished (Sold)	Finished (Unsold)	in Process
E	April 30 Cost included in	Cost of goods Sold	Finished Goods	Work in process