Exercise $5-10$ Schedules of Cost of Goods Manufactured and Cost of Goods Sold $[$LO$6]$

The following data from the just$-$completed year are taken from the accounting records of Eccles Company:

Sales $ $699,000$

Direct labour cost $98,000$

Raw material purchases $140,000$

Selling expenses $108,000$

Administrative expenses $51,000$

Manufacturing overhead applied to work in process $218,000$

Actual manufacturing overhead costs $236,000$

Inventory Beginning of Year End of Year

Raw materials $ $8,800$ $ $10,800$

Work in process $5,80020,800$

Finished goods $70,80025,800$

Required:

$1.$ Prepare a schedule of cost of goods manufactured. Assume all raw materials used in production were direct materials.

$2.$ Prepare a schedule of cost of goods sold.