Consider the following account balances (in thousands) for the

SmithSmith

Company:

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Requirements

1. Prepare a schedule for the cost of goods manufactured for

20172017.

2. Revenues for

20172017

were

$ 315$315

million. Prepare the income statement for

20172017.

Requirement 1. Prepare a schedule for the cost of goods manufactured for

20172017.

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

Data Table End of 2017 Smith Company Beginning of 2017 21,000 29,000 16,000 Direct materials inventory Work-in-process inventory Finished-goods inventory Purchases of direct materials Direct manufacturing labor Indirect manufacturing labor Plant insurance Depreciation-plant, building, and equipment Repairs and maintenance-plant Marketing, distribution, and customer-service costs General and administrative costs 28,000 20,000 24,000 79,000 23,000 12,000 8,000 13,000 4,000 105,000 36,000