Reference no: EM132639702

Bisby Company manufactures fishing rods. At the beginning of July, the following information was supplied by its accountant:

Raw materials inventory $40,000

Work-in-process inventory 21,000

Finished goods inventory 23,200

During July, the direct labour cost was $43,500, raw materials purchases were $64,000 and the total overhead cost was $108,750. The inventories at the end of July were:

Raw materials inventory $19,800

Work-in-process inventory 32,500

Finished goods inventory 22,100

Required:

Question 1: What is the cost of the direct materials used in production during July?

Question 2: What is the cost of goods manufactured for July?

Question 3: What is the cost of goods sold for July?