Question

Statement of Cost of Goods Manufactured for a Manufacturing Company Cost data for Sandusky Manufacturing Company for the month ended January 31 are as follows:

Inventories January 1 January 31

Materials $159,750 $135,790

Work in process 105,440 89,620

Finished goods 83,070 90,980

Direct labor $287,550

Materials purchased during January 306,720

Factory overhead incurred during January:

Indirect labor 30,670

Machinery depreciation 18,530

Heat, light, and power 6,390

Supplies 5,110

Property taxes 4,470

Miscellaneous costs 8,310

Answer 1

Sandusky Manufacturing Company
Statement of Cost of Goods Manufactured
For the month ended January 31
Work in process - January 01			105,440
Direct Materials
Materials Inventory - January 01	159,750
Add: Purchases	306,720
Cost of Materials available for use	466,470
Less: Material Inventory - January 31	135,790
Cost of direct materials used in Production		330,680
Direct Labor		287,550
Factory Overhead
Indirect Labor	30,670
Machinery depreciation	18,530
Heat, Light & Power	6,390
Supplies	5,110
Property Taxes	4,470
Miscellaneous Costs	8,310
Total factory overhead cost		73,480
Total manufacturing cost incurred for January			691,710
Total manufacturing costs			797,150
Less: Work in process - January 31			89,620
Cost of goods manufatured			707,530