PROBLEM 2

Intriquette Glass Manufacturing has the following information:

hours per hour

Budgeted direct-labor cost : 150,000 P16

Actual direct-labor cost : 160,000 P18

Budgeted Manufacturing overhead P1,995,000

Actual manufacturing overhead:

Depreciation 462,000

Indirect labor 164,000

Supervisory Salaries 400,000

Utilities 118,000

Insurance 60,000

Rental of Space 600,000

Indirect Material (see data below) 158,000

Indirect material:

Beginning Inventory, January 1 96,000

Purchases during the year 188,000

Ending Inventory, December 31 126,000

Inventory Balances

January 1 December 31

Direct Raw Material P36,000 P39,600

Work in Process 46,800 51,480

Finished Goods 50,400 55,440

Direct raw materials purchases P150,000

REQUIRED:

1. Prepare the cost of goods manufactured statement
2. Prepare the cost of goods sold statement