Reference no: EM133081402
Question - The following selected account balances for the year ended December 31 are provided for Amita Company:
Purchases of raw materials $260.000
Direct labour 65.000
Maintenance, factory 74.000
Selling and administrative salaries 179.000
Depreciation, factory equipment 110,000
Cleaning supplies 6.000
Sales commissions 350.000
Utilities, factory building 52.000
Rent. Factory 90.000
Depreciation, sales equipment 80.000
Insurance, factory equipment 8.000
Advertising expense 300.000
In addition, you have the following information about inventories during the year:
Increase in raw materials $10.000
Decrease in work in process $15,000
Decrease in finished goods $30,000
Cleaning supplies are in the factory.
Assume the company uses FIFO.
Required -
(a) Calculate the cost of goods manufactured.
(b) Calculate the cost of goods sold.