Chapter 1, Problem 16E

Statement of cost of goods manufactured for a manufacturing company

Cost data for Sandusky Manufacturing Company for the month ended January 31 are as follows:

Inventories	January 1	January 31
Materials	$ 180,000	$145,500
Work in process	334,600	290,700
Finished goods	675,000	715,000
Direct labor		$2,260,000
Materials purchased during January		1,375,000
Factory overhead incurred during January:
Indirect labor		115,000
Machinery depreciation		90,000
Heat, light, and power		55,000
Supplies		18,500
Property taxes		10,000
Miscellaneous costs		33,100

• A. Prepare a cost of goods manufactured statement for January.
• B. Determine the cost of goods sold for January.