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	$38,730		$8,130		$151,050		$197,910
Estimated inventory, September 1	2,020		4,850		8,080		14,950
Desired inventory, September 30	3,310		3,010		7,940		14,260
Direct labor cost:	Kiln Department		Decorating Department				Total
Total direct labor cost budgeted for September	$51,370		$148,970				$200,340
Finished goods inventories:	Dish		Bowl		Figurine		Total
Estimated inventory, September 1	$5,340		$3,040		$2,510		$10,890
Desired inventory, September 30	3,420		4,220		4,010		11,650
Work in process inventories:
Estimated inventory, September 1	$3,260
Desired inventory, September 30	1,820
Budgeted factory overhead costs for September:
Indirect factory wages	$77,100
Depreciation of plant and equipment	13,060
Power and light	6,110
Indirect materials	3,150
Total	99,420

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 inventory, September 1			10890
Work in process inventory, September 1		3260
Direct materials:
Direct materials inventory, September 1	14950
Direct materials purchases	197910
Cost of direct materials available for use	212860
Direct materials inventory,September 30	-14260
Cost of direct materials placed in production	198600
Direct labor	200340
Factory overhead	99420
Total manufacturing costs		498360
Total work in process during the period		501620
Work in process inventory, September 30		-1820
Cost of goods manufactured			499800
Cost of finished goods available for sale			510690
Finished goods inventory, September 30			-11650
Cost of goods sold			499040