X Manufacturing Company
Cost of Goods Sold Satement
For the Year Ended December 31, 2012
Direct materials used:
Raw Materials Inventory jan 1
Add: Purchases
120,000.00
Add: freight in
5,000.00
Total Cost of Purchases
125,000.00
Less: Purchase Returns 2,000.00
Purchase Discou 3,000.00
(5,000.00)
Net Purchases
Raw Meterials Available for use
Less: Raw Materials Inventory Dec 31
Direct Labor
Factory overhead:
Depreciation Expense-Factory Machines
Utility Expense-Factory
Indirect Labor
Indirect Materials
Factory Supplies Expense
Maintenance and repairs Expense-factory
Total Manufacturing Costs
25,000.00
120,000.00
145,000.00
(23,000.00)
6,000.00
4,000.00
15,000.00
13,000.00
10,000.00
12,000.00
122,000.00
80,000.00
60,000.00
262,000.00
CONTINUATION:
Total Manufacturing Costs
Add: Worki in process Jan 1
Total Cost of Goods Placed in process
Less: Work in process Dec 31
Cost of Goods Manufactured
Add: Finished Goods Inventory Jan 1
Cost of Goods Available for Sale
Less: Finished Goods Inventory Dec 31
Cost of Goods Sold
262,000.00
22,000.00
284,000.00
(15,000.00)
269,000.00
31,000.00
300,000.00
(35,000.00)
265,000.00
X Manufacturing Company
Statement of Comprehensive Income and Expense
For the Year Ended December 31, 2012
Net Sales
Less: Cost of Goods Sold
Gross profit
Less: Operating Expense
General and Administrative Expenses
Marketing Expenses
Net Income
1,000,000.00
(265,000.00)
735,000.00
55,000.00
115,000.00
(170,000.00)
565,000.00
PERIOD COSTS;
General and Administrative Expense:
Bad Debts Expense
Depreciation Expense-Office Eq
utility Expense-Office
Office Supplies Expense
Marketing Expenses:
Depreciation Expense-Store Equip
Utility Expense-Store
Advertising Expense
Delivery Expense-Freight out
10,000.00
15,000.00
20,000.00
10,000.00
55,000.00
20,000.00
25,000.00
60,000.00
10,000.00
115,000.00
1. DIRECT MATERIALS:
Raw Materials Beg
Add: Raw Materials Purchases
Raw Materials Available for Use
Less: Raw Materials End
Direct M<aterials Used
2. FACTORY OVERHEAD:
Factory Rent
Factory utilities
Indirect Materials
Indirect Labor
Total Factory Overhead
8,000.00 Direct Materials Used + Direc
93,000.00 Direct Labor + Factory Overh
101,000.00
(7,000.00)
94,000.00 4. Cost of goods Sold:
Cost of Goods Manufactured
Add: Finished Goods Invento
8,000.00 Cost of Goods Available for S
7,000.00 Less: Finished Goods Invento
4,000.00 Cost of Goods Sold
6,000.00
25,000.00
3. COST OF GOODS MANUFACTURED:
Direct Materials Used
Direct Labor
Factory Overhead
Total Manufacturing Costs
Add: Work in process Beg
Total Cost of Goods Placed in process
Less: Work in process End
Cost of Goods Manufactured
94,000.00
42,000.00
25,000.00
161,000.00
15,000.00
176,000.00
(13,000.00)
163,000.00
ect Materials Used + Direct Labor = Prime Costs
ect Labor + Factory Overhead = Conversion Costs
Cost of goods Sold:
st of Goods Manufactured
d: Finished Goods Inventory beg
st of Goods Available for Sale
ss: Finished Goods Inventory End
st of Goods Sold
163,000.00
16,000.00
179,000.00
(10,000.00)
169,000.00
Production in Units
Production Costs
a Direct Materials
b Direct Labor
c utilities
d Rent
e Indirect Labor
f Supervisory Salaries
g Maintenance
h Depreciation
Cost Incurred
2000
4000
4,000.00
8,000.00
16,000.00
32,000.00
1,000.00
1,800.00
3,000.00
3,000.00
4,600.00
9,200.00
1,500.00
1,500.00
900.00
1,400.00
2,500.00
2,500.00
33,500.00
59,400.00
Unit Cost = Total Cost / Units Produced
16.75
Mixed Costs
Fixed Cost
14.85
P4000 / 2000 = P2 X 4000 U
P16000 / 2000 = P8 X 4000 =
P1,000 - 200 = P800-/2000 =
P4600 / 2000 = P2.3 X 4000
P900-400 = P500/2000 = P.2
4000 / 2000 = P2 X 4000 U = P8,000
16000 / 2000 = P8 X 4000 = 32000
1,000 - 200 = P800-/2000 = .4 X 4000 = P1,600 + 200 = P1,800
4600 / 2000 = P2.3 X 4000 = 9200
900-400 = P500/2000 = P.25 X 4,000 = P1,000 +400 = P1400
