Begin by preparing the supporting schedule of cost of goods manufactured (in millions). Start with the direct materials and direct labor costs, then indirect manufacturing costs, and complete the schedule by calculating cost of goods manufactured.

Classic Corporation
Schedule of Cost of Goods Manufactured
For the Year Ended December 31, 2017 (in millions)
Direct material costs:
Direct materials used
Direct labor manufacturing costs

ClassicClassic's

manufacturing costing system uses a three-part classification of direct materials, direct manufacturing labor, and manufacturing overhead costs.

For Specific Date			For Year 2017
Work-in-process inventory, Jan. 1, 2017	$11		Plant utilities	$3
Direct materials inventory, Dec. 31, 2017	6		Indirect manufacturing labor	20
Finished-goods inventory, Dec. 31, 2017	14		Depreciationplant and equipment	4
Accounts payable, Dec. 31, 2017	23		Revenues	357
Accounts receivable, Jan. 1, 2017	56		Miscellaneous manufacturing overhead	12
Work-in-process inventory, Dec. 31, 2017	2		Marketing, distribution, and customer-service costs	92
Finished-goods inventory, Jan 1, 2017	44		Direct materials purchased	90
Accounts receivable, Dec. 31, 2017	38		Direct manufacturing labor	43
Accounts payable, Jan. 1, 2017	50		Plant supplies used	7
Direct materials inventory, Jan. 1, 2017	37		Property taxes on plant	5