Saved er 14 Materials Activity Raw materials purchases 53200

Saved er 14 Materials Activity Raw materials purchases $532,000 Raw materials available Ending raw materials Beginning raw materials inventory for use in production $175,000 $145,500 Diroct materials used in production Production Activity Direct labor used in production $350,000 Factory overhead used in production $750,000 Total work in Boginning work in process Inventory Ending work in process inventory $84,500 $1 Finished goods manufactured $1,593,500 Sales Activity Boginning finishod goods inventory Finished goods Ending finished goods inventory available for sale $1,740,250 Finished goods sold $139,950

Solution

Answer

Raw Material Purchased

      532,000

Add: Opening Raw Material

      145,500

Raw material available for use in Production

      677,500

Less: Closing Raw Material

      175,000

Direct Material used in Production

      502,500

Add: Direct Labor used in Production

      350,000

Add: Factory Overhead used in production

      750,000

Add: Beginning Work in Progress

         84,500

Total Work in Progress

   1,687,000

Less: Closing Work in Progress

         93,500

Finished Goods Manufactured

   1,593,500

Add: Beginning Finished Goods

      146,750

Finished goods available for sale

   1,740,250

Less: Closing Finished Goods

139950

Finished Goods sold

   1,600,300

Ending Work-in-progress = Total work-in-progress - Finished goods manufactured

= 1,687,000 – 1,593,500

Ending Work-in-progress = $93,500

Beginning Finished Goods Inventory = Finished goods available for sale – Finished goods manufactured

= 1,740,250 - 1,593,500

Beginning Finished Goods Inventory = $146,750

Raw Material Purchased	532,000
Add: Opening Raw Material	145,500
Raw material available for use in Production	677,500
Less: Closing Raw Material	175,000
Direct Material used in Production	502,500
Add: Direct Labor used in Production	350,000
Add: Factory Overhead used in production	750,000
Add: Beginning Work in Progress	84,500
Total Work in Progress	1,687,000
Less: Closing Work in Progress	93,500
Finished Goods Manufactured	1,593,500
Add: Beginning Finished Goods	146,750
Finished goods available for sale	1,740,250
Less: Closing Finished Goods	139950
Finished Goods sold	1,600,300