The following data were taken from the cost records of the Beca Company for last year:

Depreciation, factory equipment
$30,000


Depreciation, office equipment
7,000


Supplies, factory
1,500


Maintenance, factory equipment
20,000


Utilities, factory
8,000


Sales commissions
30,000


Indirect labor
54,500


Rent, factory building
70,000


Purchases of raw materials
124,000


Direct labor cost
80,000


Advertising expense
90,000






Inventories:
Beginning
Ending

Raw materials
$ 9,000
$11,000

Work in process
6,000
21,000

Finished goods
69,000
24,000






Required: Prepare a schedule of cost of goods manufactured in the text box below.

Solution:

Beca Company


Schedule of Cost of Goods Manufactured
Raw Materials, beg invty

9000
add Purchases of raw materials
124000
Total

133000
less Raw Materials, end invty
11000
Cost of materials used

122000
add Direct Labor cost

80000
Factory overhead:


Deprn, factory equipment
30000

Supplies, factory
1500

Maintenance, factory
20000

Utilities, factory
8000

Indirect labor
54500

Rent, factory bldg
70000

Total Factory overhead

184000
Total cost

386000
add Work in process, beg.

6000
Total

392000
less: Work in process, end
21000
Cost of Goods Manufactured
371000