Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware budgeted 18,200 barrels of od for purchase in Jane for $61 per barrel. Direct labor budgeted in the chemical process was $113,200 for June. Factory overhead was budgeted at $199,800 during June. The inventories on June 1 were estimated to be Oil $9,300 6,300 PL P2 5,300 Work in process 7,700 The desired inventories on June 30 were Oil $10,300. PL 5,700 P2 5,100 Work in process 6,000
Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware budgeted 18,200 barrels of od for purchase in Jane for $61 per barrel. Direct labor budgeted in the chemical process was $113,200 for June. Factory overhead was budgeted at $199,800 during June. The inventories on June 1 were estimated to be Oil $9,300 6,300 PL P2 5,300 Work in process 7,700 The desired inventories on June 30 were Oil $10,300. PL 5,700 P2 5,100 Work in process 6,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware budgeted 18,200 barrels of oil for purchase in June for $61 per barrel. Direct
labor budgeted in the chemical process was $133,200 for June. Factory overhead was budgeted at $199,800 during June. The inventories on June 1 were estimated to be
Oil
PI
P2
$9,300
6,300
5,300
Work in process
7,700
The desired inventories on June 30 were:
Oil
$10,300.
P1
5,700
P2
5,100
Work in process
6,000
Transcribed Image Text:Use the preceding information to prepare a cost of goods sold budget for June. For those boxes in which you must enter subtracted or negative numbers use a minus sign.
Delaware Chemical Company
Cost of Goods Sold Budget
For the Month Ending June 30
Direct materials:
⁰⁰⁰
000
4
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