Primare Corporation has provided the following data concerning last month’s manu

Question

Primare Corporation has provided the following data concerning last month’s manufacturing operations.

Required:

1. Prepare a schedule of cost of goods manufactured for the month.

2. Prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.

Prepare a schedule of cost of goods manufactured for the month.

Prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.

Purchases of raw materials $ 32,000 Indirect materials included in manufacturing overhead $ 4,530 Direct labor $ 59,300 Manufacturing overhead applied to work in process $ 87,600 Underapplied overhead $ 4,060

Explanation / Answer

Primare Corporation Schedule of Cost of Goods Manufactured Direct materials: Raw materials inventory, beginning 11400 Add: Purchases of raw materials 32000 Total raw materials available 43400 Less: Raw materials inventory, ending 19300 Raw materials used in production 24100 Less: Indirect materials included in manufacturing overhead 4530 19570 Direct Labor 59300 Manufacturing overhead applied to work in process inventory 87600 Total manufacturing costs 166470 Add: Work in process inventory, beginning 54400 220870 Less: Work in process inventory, ending 66300 Cost of goods manufactured 154570 2 Finished goods inventory, beginning 33800 Add: Cost of goods manufactured 154570 Cost of goods available for sale 188370 Deduct: Finished goods inventory, ending 43300 Unadjusted cost of goods sold 145070 Add: Underapplied overhead 4060 Adjusted cost of goods sold 149130

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.