CGM; CGS

Irresistible Art produces collectible pieces of art. The company's Raw Material Inventory account includes the costs of both direct and indirect materials.

Account balances for the company at the beginning and end of July follow:

During the month, the company purchased $$721,600$ of raw material; direct material used during the period amounted to $$554,400.$ Factory payroll costs for July were $$866,800,$ of which $75$ percent was

related to direct labor. Overhead charges for depreciation, insurance, utilities, and maintenance totaled $$660,000$ for July.

a$.$ Prepare a schedule of cost of goods manufactured.

Note: Do not use negatives signs with your answers.

b$.$ Prepare a schedule of cost of goods sold.

Note: Do not use negative signs with your answers.