week 7 E3-30 - 35,910 Raw material used $ 298,000 Direct...

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Exercise 3-30 Schedule of Cost of Goods Manufactured (LO 2, 6) Crunchem Cereal Company incurred the following actual costs during 20x1. Direct material used $ 298,000 Direct labor 129,000 Manufacturing overhead 277,350 The firm's predetermined overhead rate is 215 percent of direct-labor cost. The January 1 inventory balances were as follows:
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Raw material $ 31,500 Work in process 38,500 Finished goods 43,000 Each of these inventory balances was 14 percent higher at the end of the year. Requirement 1: Prepare a schedule of cost of goods manufactured for 20x1. (Omit the "$" sign in your response.) Crunchem Cereal Company Schedule of Cost of Goods Manufactured For the Year Ended December 31, 20x1 Direct material: Raw-material inventory, January 1 $
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31,500 Add : Purchases of raw material 302,410 Raw material available for use 333,910 Deduct : Raw-material inventory, December 31
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Unformatted text preview: 35,910 Raw material used $ 298,000 Direct labor 129,000 Manufacturing overhead 277,350 Total manufacturing costs 704,350 Add : Work-in-process inventory, January 1 38,500 Subtotal 742,850 Deduct : Work-in-process inventory, December 31 43,890 Cost of goods manufactured $ 698,960 Feedback: Applied manufacturing overhead is $277,350 ($129,000 215%). Actual manufacturing overhead is also $277,350, so there is no overapplied or underapplied overhead. Requirement 2: What was the cost of goods sold for the year? (Omit the "$" sign in your response.) Cost of goods sold $ 692,940 Feedback: Finished-goods inventory, January 1 $ 43,000 Add: Cost of goods manufactured 698,960 Cost of goods available for sale $ 741,960 Deduct: Finished-goods inventory, December 31 49,020 Cost of goods sold $ 692,940...
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week 7 E3-30 - 35,910 Raw material used $ 298,000 Direct...

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