Statement of Cost of Goods Manufactured for a Manufacturing Company

Cost data for Johnstone Manufacturing Company for the month ended March 31 are as follows:

Inventories	March 1		March 31
Materials	$200,500		$174,440
Work in process	136,340		118,620
Finished goods	104,260		116,870

Direct labor		$360,900
Materials purchased during March		384,960
Factory overhead incurred during March:
	Indirect labor	38,500
	Machinery depreciation	23,260
	Heat, light, and power	8,020
	Supplies	6,420
	Property taxes	5,610
	Miscellaneous costs	10,430

a. Prepare a cost of goods manufactured statement for March. Johnstone Manufacturing Company Statement of Cost of Goods Manufactured For the Month Ended March 31 Work in process inventory, March 1 136,340 Direct materials: Materials inventory, March 1 200,500 Purchases 384,960 585,460 Cost of materials available for use Materials inventory, March 31 Cost of direct materials used 174,440 $ 411,060 X Direct labor 360,900 Factory overhead: Indirect labor 38,500 Machinery depreciation 23,260 Heat, light, and power 8,020 Supplies 6,420 Property taxes 5,610 Miscellaneous costs 10,430 Total factory overhead 92,240 Total manufacturing costs incurred during March 864,200 X 1,000,540 x Total manufacturing costs Work in process inventory, March 31 118,620 Cost of goods manufactured 1,119,160 x Feedback Check My Work a. Add the beginning materials and purchases and subtract the ending materials inventory. Add direct labor and f manufacturing costs to the beginning work in process inventory and subtract the ending work in process inventor b. Determine the cost of goods sold for March. $ 1,106,550