Exercise 3-3 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	$	31,000
Indirect materials included in manufacturing overhead	$	4,710
Direct labor	$	58,300
Manufacturing overhead applied to work in process	$	88,900
Underapplied overhead	$	4,050

Inventories	Beginning		Ending
Raw materials	$	11,300	$	19,600
Work in process	$	54,300	$	69,900
Finished goods	$	33,800	$	43,900

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.