Question
I need Cost of Goods Sold please Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following
I need Cost of Goods Sold please Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories: |
Beginning Inventory | Ending Inventory | |
Raw materials inventory | $ 184,000 | $ 233,000 |
Work in process inventoryWeaving | 420,000 | 475,000 |
Work in process inventorySewing | 680,000 | 825,000 |
Finished goods inventory | 1,416,000 | 1,326,000 |
The following additional information describes the companys manufacturing activities for June: |
Raw materials purchases (on credit) | $ 660,000 |
Factory payroll cost (paid in cash) | 3,160,000 |
Other factory overhead cost (Other Accounts credited) | 190,000 |
Materials used | |
DirectWeaving | $ 280,000 |
DirectSewing | 81,000 |
Indirect | 196,000 |
Labor used | |
DirectWeaving | $1,375,000 |
DirectSewing | 400,000 |
Indirect | 1,525,000 |
Overhead rates as a percent of direct labor | |
Weaving | 85% |
Sewing | 160% |
Sales (on credit) | $5,350,000 |
1. | Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold. |
2. | Prepare journal entries dated June 30 to record (a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods, and (c) sale of finished goods. |
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