Question

Messinger Manufacturing Company had the following account balances for the quarter ending March 31, unless otherwise noted: Work-in-process inventory (January 1) $ 140,400 Work-in-process inventory (March 31) 171,000 Finished goods inventory (January 1) 540,000 Finished goods inventory (March 31) 510,000 Direct materials used 378,000 Indirect materials used 84,000 Direct manufacturing labor 480,000 Indirect manufacturing labor 186,000 Property taxes on manufacturing plant building 28,800 Salespersons' company vehicle costs 12,000 Depreciation of manufacturing equipment 264,000 Depreciation of office equipment 123,600 Miscellaneous plant overhead 135,000 Plant utilities 92,400 General office expenses 305,400 Marketing distribution costs 30,000 Required: a. Prepare a cost of goods manufactured schedule for the quarter. b. Prepare a cost of goods sold schedule for the quarter.

Answer 1

a.

Messinger Manufacturing Company
Cost of Goods Manufactured Schedule
For the Quarter Ended March 31
Direct materials		378000
Direct labor		480000
Manufacturing overheads
Indirect materials	84000
Indirect labor	186000
Property taxes on plant building	28800
Depreciation of manufacturing equipment	264000
Miscellaneous plant overhead	135000
Plant utilities	92400	790200
Total current manufacturing costs		1648200
Add: Beginning work in process		140400
Total cost of work in process		1788600
Less: Ending work in process		171000
Cost of goods manufactured $		1617600

b.

Messinger Manufacturing Company
Cost of Goods Sold Schedule
For the Quarter Ended March 31
Cost of goods manufactured $	1617600
Add: Beginning finished goods	540000
Cost of goods available for sale	2157600
Less: Ending finished goods	510000
Cost of goods sold $	1647600