Question

Cost of Goods Manufactured for a Manufacturing Company The following information is available for Ethtridge Manufacturing Company for the month ending July 31:
Cost of direct materials used in production $1,150,000
Direct labor 966,000
Work in process inventory, July 1 316,400
Work in process inventory, July 31 355,500
Total factory overhead 490,500
Determine Ethtridge's cost of goods manufactured for the month ended July 31.
Ethtridge Manufacturing Company
Statement of Cost of Goods Manufactured
For the Month Ended July 31
Factory overhead 1,150,000
Manufacturing costs incurred during July Cost of direct materials used in production $1,150,000
Direct labor 966,000
Factory overhead 490,500
Total manufacturing costs incurred Work in process inventory, July 31
355,500 Total factory overhead 490,500
Determine Ethtridge's cost of goods manufactured for the month ended July 31
Ethtridge Manufacturing Company
Statement of Cost of Goods Manufactured
For the Month Ended July 31
Factory overhead 1,150,000
Manufacturing costs incurred during July Cost of direct materials used in production 1,150,000
Direct labor 966,000
Factory overhead 490,500
Total manufacturing costs incurred $ 2,606,500
Total manufacturing costs
Factory overhead -355,500
Cost of goods manufactured 2,567,400

Answer 1

Answer:

                Ethtridge Manufacturing Company

          Statement of Cost of Goods Manufactured

                     For the Month Ended July 31

Work in Process July 1                                                $316,400

Add: Cost of direct material used     $1,150,000

          in production  

Direct labour                                        $966,000

Total factory overhead                        $490,500

Total manufacturing costs incurred                           $2,606,500

Total manufacturing cost                                            $2,922,900

Less: Work in process July 31                                     $355,500

Cost of goods manufactured                                     $2,567,400