Exercise 3-3 (Algo) Schedules of Cost of Goods Manufactured and Cost of Goods Sold [LO3-3]

Primare Corporation has provided the following data concerning last months manufacturing operations.

Purchases of raw materials	$ 32,000
Indirect materials used in production	$ 4,580
Direct labor	$ 59,000
Manufacturing overhead applied to work in process	$ 87,200
Underapplied overhead	$ 4,130

Inventories	Beginning	Ending
Raw materials	$ 10,300	$ 19,900
Work in process	$ 54,100	$ 68,000
Finished goods	$ 33,600	$ 42,300

Required:

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

2. Prepare a schedule of cost of goods sold for the month. Assume the underapplied or overapplied overhead is closed to Cost of Goods Sold.