Dobson Manufacturing Company uses a job order cost system with manufacturing overhead applied to products on the basis of direct labor dollars At the beginning of the most recent period, the company estimated its total direct labor cost to be $54,600 and its total manufacturing overhead cost to be $103,740 Several incomplete general ledger accounts show the transactions that occurred during the most recent accounting period which is given in second requirement Predetermined Overhead Rate190 of Direct Labor Cost Raw Materials Inventory Work in Process Inventory Beginning Balance 13,800 79,800 Beginning Balance 29,700 200,170 Purchases 94,300 Direct Materials 68,800 Ending Balance 28,300 Direct Labor $41,300 Applied Overhead 78,470 Ending Balance 18,100 Finished Goods Inventory Cost of Goods Sold Beginning Balance 40,600 191,770 Unadjusted Cost of Goods Sold 191,770 Cost of Goods Completed 200,170 Adjusted Cost of Goods Sold 167,600 Ending Balance 49,000 Sales Revenue Manufacturing Overhead 310,000 Indirect Materials 11,000 78,470 Applied Overhead Indirect Labor 13,100 Factory Depreciation 12,200 Factory Rent 6,700 Factory Utilities 2,100 Other Factory Costs 9,200 Actual Overhead 54,300 Selling, General, and Administrative Expenses Adm Salaries 27,300 Office Depreciation 18,600 Advertising 13,100 Ending Balance 59,000 Required 4 Prepare a statement of cost of goods manufactured and sold including the adjustment for over or underapplied overhead Prepare a statement of cost of goods manufactured and sold including the adjustment for over or underapplied overhead DOBSON MANUFACTURING COMPANY Cost of Goods Manufactured and Sold Report Beginning Raw Materials Inventory Plus Raw Material Purchases Less Indirect Material Used Less Ending Raw Materials Inventory Direct Materials Used in Production Direct Labor Manufacturing Overhead Total Current Manufacturing Costs $0 Plus Beginning Work in Process Inventory Total Work in Process $0 Less Ending Work in Process Inventory Cost of Goods Manufactured Plus Beginning Finished Goods Inventory Cost of Goods Available for Sale $0 Less Ending Finished Goods Inventory Unadjusted Cost of Goods Sold Adjusted Cost of Goods Sold

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Dobson Manufacturing Company uses a job order cost system with manufacturing overhead applied to products on the basis of direct labor dollars. At the beginning

Dobson Manufacturing Company uses a job order cost system with manufacturing overhead applied to products on the basis of direct labor dollars. At the beginning of the most recent period, the company estimated its total direct labor cost to be $54,600 and its total manufacturing overhead cost to be $103,740. Several incomplete general ledger accounts show the transactions that occurred during the most recent accounting period which is given in second requirement.

Predetermined Overhead Rate190% of Direct Labor Cost

Raw Materials Inventory			Work in Process Inventory
Beginning Balance	13,800	79,800	Beginning Balance	29,700	200,170
Purchases	94,300		Direct Materials	68,800
Ending Balance	28,300		Direct Labor	$41,300
			Applied Overhead	78,470
			Ending Balance	18,100

Finished Goods Inventory			Cost of Goods Sold
Beginning Balance	40,600	191,770	Unadjusted Cost of Goods Sold	191,770
Cost of Goods Completed	200,170		Adjusted Cost of Goods Sold	167,600
Ending Balance	49,000

Sales Revenue			Manufacturing Overhead
		310,000	Indirect Materials	11,000	78,470	Applied Overhead
			Indirect Labor	13,100
			Factory Depreciation	12,200
			Factory Rent	6,700
			Factory Utilities	2,100
			Other Factory Costs	9,200
			Actual Overhead	54,300

Selling, General, and Administrative Expenses
Adm. Salaries	27,300
Office Depreciation	18,600
Advertising	13,100
Ending Balance	59,000

Required:

4. Prepare a statement of cost of goods manufactured and sold including the adjustment for over- or underapplied overhead.

Prepare a statement of cost of goods manufactured and sold including the adjustment for over- or underapplied overhead.

DOBSON MANUFACTURING COMPANY
Cost of Goods Manufactured and Sold Report
Beginning Raw Materials Inventory
Plus: Raw Material Purchases
Less: Indirect Material Used
Less: Ending Raw Materials Inventory
Direct Materials Used in Production
Direct Labor
Manufacturing Overhead
?
Total Current Manufacturing Costs	$0
Plus: Beginning Work in Process Inventory
Total Work in Process	$0
Less: Ending Work in Process Inventory
Cost of Goods Manufactured
Plus: Beginning Finished Goods Inventory
Cost of Goods Available for Sale	$0
Less: Ending Finished Goods Inventory
Unadjusted Cost of Goods Sold
?
?
Adjusted Cost of Goods Sold