EX.15-16: Statement of Costs of Goods Manufactured (COGM) and Costs of Goods Sold (COGS) Cost data for Sanusky Manufacturing Company for the month ended January 31 are as follows: Inventories Materials (RM) Work in process (WIP) Finished Goods (FG) Direct labor Materials purchased during January Factory overhead incurred during January: Indirect labor Machinery deprecistion Heat, light and power Supplies January 1 January 31 $180,000 334,600 $145,500 290,700 675,000 715,000 $2,260,000 1,375,000 115,000 90,000 55,000 18,500 10,000 33,100 Required: Solution: 1 Property taxes Miscellaneous costs 1. Prpare a COGM Statement for Janurary, 2. Determine the COGS for January. Beginning WIP Direct materials Beginning RM RM purchased Sanusky Manufacturing Company Statement of Cost of Goods Manufactured For the Month Ended January 31 RM/FOH Costs added COGM Costs of RM available for use Solution: 2 less Ending RM Cost of RM used Direct labor Factory overhead (FOH) Indirect labor Machinery deprecistion Heat, light and power Supplies Property taxes Miscellaneous costs Total costs of FOH Total manufacturing costs incurred in period Total manufacturing costs in the process Less Ending WIP COGM Beginning FG inventory Plus COGM Equals Costs of goods available for sale Less Ending FG inventory COGS