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

Purchases of raw materials	$	32,000
Indirect materials included in manufacturing overhead	$	4,840
Direct labor	$	59,400
Manufacturing overhead applied to work in process	$	87,000
Underapplied overhead	$	4,060

Inventories	Beginning		Ending
Raw materials	$	10,700	$	19,300
Work in process	$	54,600	$	67,700
Finished goods	$	34,100	$	43,600

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

Required 1

Required 2

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

Primare Corporation
Schedule of Cost of Goods Manufactured
Direct materials:
Beginning raw materials inventory	$10,700
Add: Purchases of raw materials	32,000
Total raw materials available	42,700
Less: Ending raw materials inventory	19,300
Raw materials used in production	23,400
Less: Indirect materials included in manufacturing overhead	4,840	$18,560
Direct labor		59,400
Manufacturing overhead applied to work in process		87,000
Total manufacturing costs		165,160
Add: Purchases of raw materials		175,860
		341,020
Less: Ending work in process inventory
Cost of goods manufactured

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

Primare Corporation
Schedule of Cost of Goods Sold