Question
The controller of Pueblo Ceramics Inc. wishes to prepare a cost of goods sold budget for April. The controller assembled the following information for constructing
The controller of Pueblo Ceramics Inc. wishes to prepare a cost of goods sold budget for April. The controller assembled the following information for constructing the cost of goods sold budget:
| Direct materials: | Enamel | Paint | Porcelain | Total | ||||
| Total direct materials purchases budgeted for April | $35,000 | $6,000 | $140,000 | $181,000 | ||||
| Estimated inventory, April 1 | 3,000 | 750 | 9,250 | 13,000 | ||||
| Desired inventory, April 30 | 3,200 | 1,000 | 10,800 | 15,000 | ||||
| Direct labor cost: | Kiln Department | Decorating Department | Total | |||||
| Total direct labor cost budgeted for April | $38,000 | $162,000 | $200,000 | |||||
| Budgeted factory overhead costs for April: | ||||||||
| Indirect factory wages | $71,500 | |||||||
| Depreciation of plant and equipment | 19,000 | |||||||
| Power and light | 12,300 | |||||||
| Indirect materials | 4,200 | |||||||
| Total | $107,000 | |||||||
| Work in process inventories: | ||||||||
| Estimated inventory, April 1 | $11,400 | |||||||
| Desired inventory, April 30 | 9,500 | |||||||
| Finished goods inventories: | Dish | Bowl | Figurine | Total | ||||
| Estimated inventory, April 1 | $4,500 | $3,000 | $2,500 | $10,000 | ||||
| Desired inventory, April 30 | 4,000 | 750 | 1,250 | 6,000 | ||||
Use the preceding information to prepare a cost of goods sold budget for April.
| PUEBLO CERAMICS INC. | |||
| Cost of Goods Sold Budget | |||
| For the Month Ending April 30 | |||
| Finished goods inventory, April 1 | $fill in the blank 1 | ||
| Work in process inventory, April 1 | $fill in the blank 3 | ||
| Direct materials: | |||
| Direct materials inventory, April 1 | $fill in the blank 5 | ||
| Direct materials purchases | fill in the blank 7 | ||
| Cost of direct materials available for use | $fill in the blank 8 | ||
| Less: Direct materials inventory, April 30 | fill in the blank 10 | ||
| Cost of direct materials placed in production | $fill in the blank 11 | ||
| Direct labor | fill in the blank 13 | ||
| Factory overhead | fill in the blank 15 | ||
| Total manufacturing costs | fill in the blank 16 | ||
| Total work in process during the period | $fill in the blank 17 | ||
| Less: Work in process inventory, April 30 | fill in the blank 19 | ||
| Cost of goods manufactured | fill in the blank 20 | ||
| Cost of finished goods available for sale | $fill in the blank 21 | ||
| Less: Finished goods inventory, April 30 | fill in the blank 23 | ||
| Cost of goods sold | $fill in the blank 24 | ||
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Horngrens Accounting, The Managerial Chapters
Authors: Tracie Miller Nobles, Brenda Mattison
13th Edition
0135982138, 9780135982136
