Question

Account	Balance
Advertising expense	22,000
Direct material purchases	60,000
Paint for direct materials	15,000
Direct labour hours	220,000
Factory utilities	15,000
Factory repairs	12,000
Amortization, office printers	85,000
Amortization, factory chairs	25,000
Indirect materials	16,000
Indirect labour	31,000
Sale Commissions	4,000
Office Utilities	6,000
By-product sales	22,000
Sales	420,000
Promotional items	82,000
Cost per labour hour	20
Materials inventory, July 1, 19	50,000
Work-in-Process Inventory, July 1, 19	15,000
Finished Goods Inventory, July 1, 19	72,000
Materials Inventory, June 30, 20	10,000
Work-in-Process Inventory, June 30, 20	40,000
Finished Goods Inventory, June 30, 20	65,000

What is the total COGM

Select one:

a. 4,629,000

b. 4,661,000

c. 4,589,000

d. 4,596,000

e. 4,614,000

f. None of the above

Answer 1

Correct answer-------------f. None of the above

Working

Schedule of Cost of Goods Manufactured
Direct Material
Raw material Inventory Beginning	$ 50,000
Raw material Purchased	$ 60,000
Raw material available for use	$ 110,000
Less: Raw material Inventory Ending	$ 10,000
Direct Material Used		$ 100,000
Direct labor		$ 220,000
Manufacturing overheads
Paint for direct materials	$ 15,000.00
Factory utilities	$         15,000.00
Factory repairs	$         12,000.00
Amortization, factory chairs	$         25,000.00
Indirect materials	$         16,000.00
Indirect labour	$         31,000.00
Total Manufacturing overheads		$ 114,000
Total manufacturing Cost During the month		$ 434,000
Add: Work in process Beginning		$ 15,000
Total Work in Process		$ 449,000
Less: Work in progress Ending		$ 40,000
Cost of Goods Manufactured		$ 409,000