Question

Beck Manufacturing reports the following information in T-account form for 2019.

Raw Materials Inventory
Begin. Inv.	10,800
Purchases	58,500
Avail. for use	69,300
		DM used	47,500
End. Inv.	21,800

Work in Process Inventory
Begin. Inv.	14,200
DM used	47,500
Direct labor	30,100
Overhead	62,500
Manuf. costs	154,300
		Cost of goods manuf.	140,800
End. Inv.	13,500

Finished Goods Inventory
Begin. Inv.	19,300
Cost of goods manuf.	140,800
Avail. for sale	160,100
		Cost of Goods Sold	141,900
End. Inv.	18,200

Required:
1. Prepare the schedule of cost of goods manufactured for the year.
2. Compute cost of goods sold for the year.

Answer 1

1.

Schedule of Cost of Goods Manufactured
Beginning raw material inventory	10,800
Purchase of raw material	58,500
Total raw materials available	69,300
Ending raw material inventory	-21,800
Raw material used	47,500
Direct labor	30,100
Manufacturing Overheads	62,500
Total Manufacturing Cost	140,100
Beginning work in process inventory	14,200
Ending work in process inventory	-13,500
Cost of goods manufactured	140,800

2.

Schedule of Cost of Goods Sold
Finished goods inventory, beginning	19,300
Cost of goods manufactured	140,800
Cost of goods available for sale	160,100
Finished goods inventory, Ending	-18,200
Cost of goods sold	141,900