Answer:
(a) schedule of cost of goods manufactured
Raw Materials 409,300
Direct labor 117,000
Factory overhead 102,000
Add Opening Work in process 55,600
Less Closing Work in process (77,900)
Cost of goods manufactured 606,000
(b) an income statement for the month ended March 31
Sales 1,167,000
<em>Less</em> Cost of Sales
Opening Finished goods inventory 65,400
Add Cost of Goods Manufactured 606,000
Less Closing Finished goods inventory (82,200) (589,200)
Gross Profit 577,800
Sales and administrative expenses (371,000)
Net Income 206,800
(c) the inventory section of the balance sheet
Materials inventory 91,500
Work in process 77,900
Finished goods inventory 82,200
Total 251,600
Explanation:
(a) schedule of cost of goods manufactured
Materials Used in Production = Opening Materials inventory + Purchases - Closing Materials inventory
= 83,300 + 417,500 - 91,500
= 409,300
<u>schedule of cost of goods manufactured</u>
Raw Materials 409,300
Direct labor 117,000
Factory overhead 102,000
Add Opening Work in process 55,600
Less Closing Work in process (77,900)
Cost of goods manufactured 606,000
(b) an income statement for the month ended March 31
Sales 1,167,000
<em>Less</em> Cost of Sales
Opening Finished goods inventory 65,400
Add Cost of Goods Manufactured 606,000
Less Closing Finished goods inventory (82,200) (589,200)
Gross Profit 577,800
Sales and administrative expenses (371,000)
Net Income 206,800
(c) the inventory section of the balance sheet
Materials inventory 91,500
Work in process 77,900
Finished goods inventory 82,200
Total 251,600
