Question

Exercise 19-12 a-b Sheridan Corporation has the following cost records for June 2020. Indirect factory labor $5,040 Factory utilities $490 Direct materials used 21,100 Depreciation, factory equipment 1,600 Work in process, 6/1/20 3,920 Direct labor 42,130 Work in process, 6/30/20 4,680 Maintenance, factory equipment 1,980 Finished goods, 6/1/20 5,100 Indirect materials 2,190 Finished goods, 6/30/20 7,990 Factory manager’s salary 3,890

Prepare a cost of goods manufactured schedule for June 2020. Prepare an income statement through gross profit for June 2020 assuming sales revenue is $89,730.

Answer 1

Schedule of Cost of Goods Manufactured
Direct material used	21,100
Direct labor	42,130
Manufacturing Overheads:
Depreciation - Factory equipment	1,600
Utilities - Factory	490
Indirect labor	5,040
Maintenance, factory equipment	1,980
Indirect materials	2,190
Factory manager’s salary	3,890
Total Manufacturing Cost	78,420
Work in process, 6/1/20	3,920
Work in process, 6/30/20	-4,680
Cost of goods manufactured	$77,660

Income Statement
Revenues
Sales revenue		89,730
Cost of goods sold:
Finished goods, 6/1/20	5,100
Cost of goods manufactured	77,660
Cost of goods available for sale	82,760
Finished goods, 6/30/20	-7,990
Cost of goods sold		-74,770
Gross profit		$14,960

Please give a positive rating if you are satisfied with this solution and if you have any query kindly ask.

Thanks!!!