Question

Statement of cost of goods manufactured for a manufacturing company Cost data for Johnstone Manufacturing Company for the month ended March 31 are as follows: Inventories Materials Work in process Finished goods = March 1 $187.200 388,570 522,560 March 31 $172,130 454970 S49,020 = = m $3,120,000 2,376,720 all Direct labore Materials purchased during March Factory overhead incurred during March: Indirect labor Machinery depreciation Heat, light, and power Supplies Property taxes Miscellaneous costs 285250 187,200 156,000 31.110 26,740 40,740 This information has been collected in the Microsoft Excel Online nile. Open the spreadsheet, perform the required analysis, and input your answers in the questions below

Answer 1

Cost of Goods Manufactured for the month ended 31st March :- Particulars Amount $ Direct material used :- Raw Material Inventory as on January 1 1,87,200 Purchases 23,76,720 Cost of material available for use 25,63,920 Less: Raw Material Inventory on December 31 1,72,130 Cost of direct material used 23,91,790 Direct labor 31,20,000 Factory overhead:- Indirect labor 2,85,250 Machinery depreciation 1,87,200 Heat, light and power 1,56,000 Supplies 31,110 Property taxes 26,740 Miscellaneous costs 40,740 Total Factory overhead 7,27,040 Total manufacturing cost incurred 62,38,830 Add: Work in process Inventory, January 1 3,88,570 Less: Work in process Inventory, December 31 4,54,970 Cost of goods manufactured 61,72,430 Cost of Goods sold for the month ended 31st March Particulars Beginning Inventory of Finished Goods Add: Cost of Goods manufactured (as above) Cost of goods available for sale Less: Ending Inventory of Finished Goods Cost of Goods sold Amount $ 5,22,560 61,72,430 66,94,990 5,49,020 61,45,970