Latihan 2-11

The following cost and inventory data are taken from the accounting records
of mean company for the:

A) Prepare a schedule of cost of good manufactured in good from

Cost incurred

Direct labour cost $70000

Purchases of raw material $118000

Indirect labour $30000

Maintenance,factory equipment $6000

Advertising expenses

Insurance, factory equipment $800

Sales saleries $50000

Rent, factory facilities $20000

Supplies $4200

Depreciation,office equipment $3000

Depreciation, office equipment $19000

Beginning of the year

ending of the year

Inventories:

Raw material $7000

$15000

Wip $10000
$5000

Finished good $20000

$35000
Direct material:

Raw material $7000

Purchases of raw material $118000

Raw material available for use $125000

Ending raw materials inventory $15000

raw material used in production

$110000

Direct labour
$70000

Manufacturing ovh:

Insurance,factory expenses $800

Indirect labour $30000

Supplies $4200

Rent,factory facilities $20000

Sales saleries $50000

Advertising expenses $90000

Maintenance,factory equipment $6000

Deprecation,office equipment $3000

Dep.,factory equipment $19000

$223000

Total manufacturing cost

$403000

Wip
$10000
$413000

Ending wip
$5000

Cost of good manufactured

$408000

b) prepare the cost of goods sold section of mason company’s income

statement for the year

finish good $20000

cost of good manufacturing $408000
$428000
Endind f.good $35000
Cost of good sold $393000