Question

Beck Manufacturing reports the information below for 2017.

Raw Materials Inventory
Begin. Inv.	12,500
Purchases	46,000
Avail. for use	58,500
		DM used	47,500
End. Inv.	11,000

Work in Process Inventory
Begin. Inv.	14,400
DM used	47,500
Direct labor	32,300
Overhead	61,000
Avail. for mfg.	155,200
		Cost of goods mfg	142,800
End. Inv.	12,400

Finished Goods Inventory
Begin. Inv.	19,900
Cost of goods mfg	142,800
Avail. for sale	162,700
		Cost of Goods Sold	142,800
End. Inv.	19,900

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
	Raw materials used
	Beginning inventory				12,500
	Add:purchases				46,000
	Raw materials available for use				58,500
	less:ending inventory				11,000
	Raw materials used					47,500
	direct laboe					32,300
	Factory overhead applied					61,000
	total manufacturing costs					140,800
	Add:Beginning work in process inventory					14,400
						155,200
	less:ending work in process inventory					12,400
	Cost of goods manufactured					142,800
2)	cost of goods sold
	Beginning finished goods inventory					19,900
	Add:cost of goods manufactured					142,800
	cost of goods avaialble for sale					162,700
	less:ending finished goods inventory					19,900
	cost of goods sold					142,800