Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Jones Corporation has the following cost records for May 2013 Indirect factory l

ID: 2587168 • Letter: J

Question

Jones Corporation has the following cost records for May 2013

Indirect factory labor

$ 7,000

Advertising Expense

$   8,000

Direct materials used

12,000

Depreciation, factory equipment

3,200

Work in process, 5/1/13

6,000

Direct labor

13,000

Work in process, 5/31/13

7,800

Maintenance, factory equipment

1,000

Factory supervisor’s salary  

4,500

Indirect materials

1,200

Sales Commission                   

10,000

Office Manager Salary

4,000

In preparing the Cost of Goods Manufactured Schedule, what is the:

Cost of Goods Manufactured

Indirect factory labor

$ 7,000

Advertising Expense

$   8,000

Direct materials used

12,000

Depreciation, factory equipment

3,200

Work in process, 5/1/13

6,000

Direct labor

13,000

Work in process, 5/31/13

7,800

Maintenance, factory equipment

1,000

Factory supervisor’s salary  

4,500

Indirect materials

1,200

Sales Commission                   

10,000

Office Manager Salary

4,000

In preparing the Cost of Goods Manufactured Schedule, what is the:

Cost of Goods Manufactured

Explanation / Answer

the following will be the cost of goods manufactured schedule:

note:sales commission , advertising expense, office manager salary are not considered in calculation of cost of goods manufactured, since they are not involved in production of goods.

Opening work in process (5/1/13) . .. $6,000 DIrect materials used 12,000 Direct labour 13,000 Manufacturing overhead Indirect factory labour $7,000 Factory supervisor salary 4,500 indirect materials 1,200 maintenance factory equipment 1,000 depreciation factory equipment 3,200 Total factory overhead 16,900 Total manufacturing cost $41,900 Total cost of work in process (6,000 + 41900) $47,900 less: work in process 5/31/14 (7,800) cost of goods manufactured $40,100