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 $230,400 $211,850 Work in process 478,240 559,960 Finished goods 643,150 675,710 Direct labor $3,840,000 Materials purchased during March 2,925,200 Factory overhead incurred during March: Indirect labor 351,080 Machinery depreciation 230,400 Heat, light, and power 192,000 Supplies 38,280 Property taxes 32,910 Miscellaneous costs 50,140 Prepare a cost of goods manufactured statement for March. Round your answers to the nearest dollar. Johnstone Manufacturing Company Statement of Cost of Goods Manufactured For the Month Ended March 31
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Statement of cost of goods manufactured for a
Cost data for Johnstone Manufacturing Company for the month ended March 31 are as follows:
| Inventories | March 1 | March 31 | ||||
| Materials | $230,400 | $211,850 | ||||
| Work in process | 478,240 | 559,960 | ||||
| Finished goods | 643,150 | 675,710 | ||||
| Direct labor | $3,840,000 | |||||
| Materials purchased during March | 2,925,200 | |||||
| Factory |
||||||
| Indirect labor | 351,080 | |||||
| Machinery |
230,400 | |||||
| Heat, light, and power | 192,000 | |||||
| Supplies | 38,280 | |||||
| Property taxes | 32,910 | |||||
| Miscellaneous costs | 50,140 |
Prepare a cost of goods manufactured statement for March. Round your answers to the nearest dollar.
| Johnstone Manufacturing Company |
| Statement of Cost of Goods Manufactured |
| For the Month Ended March 31 |
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