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Lone Oak's manufacturing overhead, cost of good manufactured

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.

Inventory data:

January 1 December 31
Raw material $
Work in process
Finished goods*

*The January 1 and December 31 finished-goods inventory consisted of 1,350 units and 1,190 units, respectively.

Requirement 1:
Calculate Lone Oak's manufacturing overhead for the year.

Manufacturing overhead $

Requirement 2:
Calculate Lone Oak's cost of goods manufactured.

Cost of goods manufactured $

Requirement 3:
Compute the company's cost of goods sold. (Omit the "$" sign in your response.)

Cost of goods sold $.

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Solution Summary

The solution discusses Lone Oak's manufacturing overhead and cost of goods manufactured.