Raw material purchases $ 176,000
Direct labor 255,000
Indirect labor 109,000
Selling and administrative salaries 133,000
Building depreciation* 80,000
Other selling and administrative expenses 195,000
Other factory costs 342,000
Sales revenue ($130 per unit) 1,495,000
*Seventy-five percent of the company's building was devoted to production activities; the remaining 25 percent was used for selling and administrative functions.
January 1 December 31
Raw material $
Work in process
*The January 1 and December 31 finished-goods inventory consisted of 1,350 units and 1,190 units, respectively.
Calculate Lone Oak's manufacturing overhead for the year.
Manufacturing overhead $
Calculate Lone Oak's cost of goods manufactured.
Cost of goods manufactured $
Compute the company's cost of goods sold. (Omit the "$" sign in your response.)
Cost of goods sold $.
Solution is provided in a separate Excel file attached. ...
The solution discusses Lone Oak's manufacturing overhead and cost of goods manufactured.