Cost of Goods Manufactured and Sold LeMans Company produces

Cost of Goods Manufactured and Sold LeMans Company produces specialty papers at its Fox Run plant. At the beginning of June, the following information was supplied by its accountant: Direct materials inventory Work-in-process inventory Finished goods inventory During June, direct labor cost was $143,000, direct materials purchases were $346,000, and the total overhead cost was $375,800. The inventories at the end of June were: Direct materials inventory Work-in-process inventory Finished goods inventory $62,400 33,900 55,600 $63,000 37,500 50,800 e here to search

Solution

Answer

Statement of Cost of Goods Manufactured

Direct Material:

Beginning Raw material Inventory

62400

Add: Cost of raw material purchased

346000

Material available

408400

Less: Ending Raw material inventory

63000

Direct Materials used in Production

345400

Direct Labor Cost

143000

Total overhead cost

375800

Total Manufacturing cost added

864200

Add: Opening Work in Progress

33900

Less: Closing Work in Progress

37500

Cost of Goods manufactured

860600

Statement of Cost of Goods Sold

Opening Finished goods inventory

55600

Add: Cost of Goods manufactured

860600

Total goods available for Sale

916200

Less: Closing finished goods inventory

50800

Cost of Goods Sold

865400

Statement of Cost of Goods Manufactured
Direct Material:
Beginning Raw material Inventory	62400
Add: Cost of raw material purchased	346000
Material available	408400
Less: Ending Raw material inventory	63000
Direct Materials used in Production		345400
Direct Labor Cost		143000
Total overhead cost		375800
Total Manufacturing cost added		864200
Add: Opening Work in Progress		33900
Less: Closing Work in Progress		37500
Cost of Goods manufactured		860600