An analysis of the accounts of Roberts Company reveals the following manufacturi
ID: 2450826 • Letter: A
Question
An analysis of the accounts of Roberts Company reveals the following manufacturing cost data for the month ended June 30, 2017.
Inventory
Beginning
Ending
Costs incurred: raw materials purchases $55,260, direct labor $48,920, manufacturing overhead $23,050. The specific overhead costs were: indirect labor $6,340, factory insurance $4,510, machinery depreciation $4,900, machinery repairs $1,930, factory utilities $3,610, and miscellaneous factory costs $1,760. Assume that all raw materials used were direct materials.
(a) Prepare the cost of goods manufactured schedule for the month ended June 30, 2017
(b) Show the presentation of the ending inventories on the June 30, 2017, balance sheet.
Inventory
Beginning
Ending
Raw materials $9,110 $14,750 Work in process 6,800 8,470 Finished goods 9,350 6,700Explanation / Answer
a) cost of goods manufactured
b)
Beginning-raw material 9110 Add:Purchase 55260 less:Ending -raw material (14750) Raw material used 49620 Add: Direct labor 48920 Factory overhead 23050 Total manufacturing cost incurred 121590 Add: Beginning WIP 6800 less: Ending WIP (8470) cost of goods manufactured 119920