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The following data was taken from the general ledger and other records of Martinez Manufacturing Co. at July 31, the end of the first month
The following data was taken from the general ledger and other records of Martinez Manufacturing Co. at July 31, the end of the first month of operations in the current fiscal year:
Sales | P50,000 |
Materials inventory (July 1) | 15,000 |
Work in process inventory (July 1) | 20,000 |
Finished goods inventory (July 1) | 28,000 |
Materials purchased | 21,000 |
Direct labor cost | 12,500 |
Factory overhead (including P5,000 of indirect materials used and P2,500 of indirect labor cost) |
11,500 |
Selling and administrative expense | 8,000 |
Inventories at July 31: | |
Materials | 16,000 |
Work in process | 18,000 |
Finished goods | 30,000 |
a. | Compute cost of goods manufactured. |
b. | Determine the cost of goods sold for the month. |
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