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The controller of Dross Ceramics Inc. is preparing a cost of goods sold budget for April. The controller assembled the following information for the cost
The controller of Dross Ceramics Inc. is preparing a cost of goods sold budget for April. The controller assembled the following information for the cost of goods sold budget:
| Direct materials: | Enamel | Paint | Porcelain | Total |
|---|---|---|---|---|
| Total direct materials purchases budgeted for April | $17,500 | $3,000 | $70,000 | $90,500 |
| Estimated inventory, April 1 | 1,500 | 375 | 4,625 | 6,500 |
| Desired inventory, April 30 | 1,600 | 500 | 5,400 | 7,500 |
| Direct labor cost: | Kiln Department | Decorating Department | Total |
|---|---|---|---|
| Total direct labor cost budgeted for April | $19,000 | $81,000 | $100,000 |
| Indirect factory wages | $35,750 |
|---|---|
| Depreciation of plant and equipment | 9,500 |
| Power and light | 6,150 |
| Indirect materials | 2,100 |
| Total | $53,500 |
| Estimated inventory, April 1 | $5,700 |
|---|---|
| Desired inventory, April 30 | 4,750 |
| Finished goods inventories: | Dish | Bowl | Figurine | Total |
|---|---|---|---|---|
| Estimated inventory, April 1 | $2,250 | $1,500 | $1,250 | $5,000 |
| Desired inventory, April 30 | 2,000 | 375 | 625 | 3,000 |
Use the preceding information to prepare a cost of goods sold budget for April.
| Line Item Description | Amount | Amount | Amount |
|---|---|---|---|
| Finished goods inventory, April 1 | $Finished goods inventory, April 1 | ||
| Direct laborFinished Goods inventory, April 1Selling and administrative expenseWork-in-process inventory, April 1Work-in-process inventory, April 30Work-in-process inventory, April 1 | $Work-in-process inventory, April 1 | ||
| Direct materials: | |||
| Direct materials inventory, April 1Direct materials inventory, April 30Factory overheadFinished goods inventory, April 1Finished goods inventory, April 30Direct materials inventory, April 1 | $Direct materials inventory, April 1 | ||
| Direct laborDirect materials inventory, April 1Direct materials purchasesFactory overheadFinished goods inventory, April 30Direct materials purchases | Direct materials purchases | ||
| Cost of direct materials available for use | $Cost of direct materials available for use | ||
| Less: Direct materials inventory, April 1Less: Direct materials inventory, April 30Less: Direct materials purchasesPlus: Direct materials inventory, April 1Plus: Direct materials inventory, April 30Less: Direct materials inventory, April 30 | Less: Direct materials inventory, April 30 | ||
| Cost of direct materials placed in production | $Cost of direct materials placed in production | ||
| Direct laborFinished Goods inventory, April 1Selling and administrative expenseTotal work in process during periodWork-in-process inventory, April 30Direct labor | Direct labor | ||
| Factory overheadFinished Goods inventory, April 1Selling and administrative expenseTotal work in process during periodWork-in-process inventory, April 30Factory overhead | Factory overhead | ||
| Total manufacturing costs | Total manufacturing costs | ||
| Total work in process during the period | $Total work in process during the period | ||
| Less: Finished goods inventory, April 30Less: Work-in-process inventory, April 1Less: Work-in-process inventory, April 30Plus: Work-in-process inventory, April 1Plus: Work-in-process inventory, April 30Less: Work-in-process inventory, April 30 | Less: Work-in-process inventory, April 30 | ||
| Cost of goods manufactured | Cost of goods manufactured | ||
| Cost of finished goods available for sale | $Cost of finished goods available for sale | ||
| Less: Finished goods inventory, April 1Less: Finished goods inventory, April 30Less: Work-in-process inventory, April 30Plus: Finished goods inventory, April 1Plus: Finished goods inventory, April 30Less: Finished goods inventory, April 30 | Less: Finished goods inventory, April 30 | ||
| Cost of goods sold | $Cost of goods sold |
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