Question

Would you put together a Cost of Goods Manufactured Statement for the following information?

On September 10 of the current year, all the inventory of Rawls Manufacturing was destroyed in a storm. We need help with the insurance claims on the company's losses. The following information was taken from a computer saved from the storm.

Inventories on August 31:

Materials inventory 20,000

Work in process inventory 4,000

Fininished goods inventory 14,000

Manufacturing activity from September 1 to 10:

Direct material requisitions 70,000

Direct materials purchased 66,000

Cost of goods sold 150,000

Prime costs used 80,000

Cost of goods manufactured 148,000

The overhead rate is 110% of direct materials costs.

Thank you!

Update:

All the quantities and rates are listed above. This is a problem given to our class by the instructor in a graduate level cost account ing class or course as a homework problem.  

Answer 1

Rawls manufacturing
Cost of Goods sold manufactured Statement
As on September, 10
Particulars			Amt.($)	Amt.($)
Direct Material Used:
Beginning material inventory			20,000
Add: Material Purchased			66,000
Less: Ending material inventory			16,000
Total material used				70,000
Direct Labor				10,000
Prime cost				80,000
Add: Overhead (110% of Direct material costs)				77,000
Total Manufacturing Cost				157,000
Add: Beginning Work in progress inventory				4,000
				161,000
Less: Ending Work in progress inventory				13,000
Cost of Goods manufactured				148,000
Add: Beginning Finished Good inventory				14,000
				162,000
Less: Ending Finished Good inventory				12,000
Cost of Goods Sold				150,000