1. Cost of Goods Sold Budget

   Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware budgeted 15,800 barrels of oil for purchase in June for $67 per barrel. Direct labor budgeted in the chemical process was $116,400 for June. Factory overhead was budgeted at $190,500 during June. The inventories on June 1 were estimated to be:

   Oil	$8,100
   P1	5,500
   P2	4,700
   Work in process	6,800

   The desired inventories on June 30 were:

   Oil	$9,000
   P1	5,000
   P2	4,400
   Work in process	7,000

   Use the preceding information to prepare a cost of goods sold budget for June. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

   Delaware Chemical Company
   Cost of Goods Sold Budget
   For the Month Ending June 30
   Direct materials: