Reference no: EM132743834
Problem - During December, Kenley Ryan Corp's:
Purchase of direct materials totaled $313,000;
Direct labor for the month was 10,000 hours at $25.00 per hour.
Kenley Ryan also incurred the following overhead costs:
Utilities, 115,000
Supervision, 74,000,
Indirect materials, 26,000
Depreciation, 248,000,
Insurance 62,000
Miscellaneous 55,000.
Beginning inventory accounts were as follows:
Materials Inventory, 60,000
Work in Process Inventory, 8,000
Finished Goods Inventory 15,000
Ending inventory as follows:
Materials Inventory, 78,000
Work in Process Inventory, 9,000
Finished Goods Inventory 12,500.
Required - Prepare a statement of cost of goods manufactured and the cost of goods sold section of the income statement.