An analysis of the accounts of Roberts Company reveals the following manufacturing cost data for the month ended June 30, 2020. Inventory Beginning Ending Raw materials $9,000 $13,100 Work in process 5,000 7,000 Finished goods 9,000 8,000 Costs incurred: raw materials purchases $54,000, direct labor $47,000, manufacturing overhead $19,900. The specific overhead costs were: indirect labor $5,500, factory insurance $4,000, machinery depreciation $4,000, machinery repairs $1,800, factory utilities $3,100, and miscellaneous factory costs $1,500. Assume that all raw materials used were direct materials. (a) Prepare the cost of goods manufactured schedule for the month ended June 30, 2020.

Answer and Explanation:

The preparation of the cost of goods manufactured is presented below:

                                       Roberts Company

                               Cost of Goods Sold Statement

                          For the month ended June 30, 2020

Particulars                                                                             Amount

Beginning work-in-process inventory                                  $5,000

Manufacturing costs:

Direct materials:                                                  

Beginning inventory                                   $9,000

Purchases                                                    $54,000

Materials available                                      $63,000

Less:  Ending inventory                               -$13,100

Direct materials used                                                             $49,900

Direct labor                                                                              $47,000

Other manufacturing costs                                                    

Indirect labor                                                   $5,500

Factory insurance                                           $4,000

Machinery depreciation                           $4,000

Factory utilities                                            $3,100

Machinery repairs                                            $1,800

Miscellaneous factory Costs                           $1,500

Total other manufacturing cost                                              $19,900

Total manufacturing costs:                                                     $116,800

Total costs of work-in-process                                                $121.800               Less:  Ending work-in-process                                                 -$7,000

Cost of goods manufactured                                                  $114,800

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know