Question

Cost of Goods Manufactured Slapshot Company makes ice hockey sticks. During the month of June, the company purchased $123,000 of materials. Also during the month of June, Slapshot Company incurred direct labor cost of $175,000 and manufacturing overhead of $206,000. Inventory information is as follows:   

   June 1    June 30

Materials    $48,000 $45,000

Work in process 65,000    63,000

Required:

1. Calculate the cost of goods manufactured for the month of June. $

2. Calculate the cost of one hockey stick assuming that 1,900 sticks were completed during June. Round your answer to the nearest cent. $per hockey stick Feedback

Answer 1

1)

Schedule of Cost of Goods Manufactured
Raw Material, Beginning	48,000
Raw Material Purchase	123,000
Total Raw material available	171,000
Raw material, ending	- 45,000
Direct Material used	126,000
Direct Labor	175,000
Manufacturing overhead	206,000
Total manufacturing cost	507,000
Work in process, beginning	65,000
Work in process, ending	-63,000
Cost of Goods manufactured	$ 509,000

The cost of goods manufactured for the month of June. $ 509,000

2)

Cost of 1 hockey = Costs of Goods manufactured / Number of hockey's

= 509,000 / 1,900

= $267.89