Sleep Tight, Inc., manufactures comforters. The estimated inventories on January 1 for finished goods, work in process, and materials were $39,000, $33,000, and $25,000, respectively. The desired inventories on December 31 for finished goods, work in process, and materials were $42,000, $35,000, and $20,000, respectively. Direct materials purchases were $570,000, direct labor was $249,000 for the year, and factory overhead was $141,000. Prepare a cost of goods sold budget for Sleep Tight, Inc. Sleep Tight, Inc. Cost of Goods Sold Budget For the Year Ending December 31 Finished goods inventory, January 1     $ Work in process inventory, January 1   $   Direct materials:       Direct materials, January 1 $     Direct materials purchases       Cost of direct materials available for sale $     Direct materials inventory, December 31       Cost of direct materials placed in production $     Direct labor       Factory overhead       Total manufacturing costs       Total work in process during the period   $   Work in process inventory, December 31       Cost of goods manufactured       Cost of finished goods available for sale     $ Finished goods inventory, December 31       Cost of goods sold     $

Question

Sleep Tight, Inc., manufactures comforters. The estimated inventories on January 1 for finished goods, work in process, and materials were $39,000, $33,000, and $25,000, respectively. The desired inventories on December 31 for finished goods, work in process, and materials were $42,000, $35,000, and $20,000, respectively. Direct materials purchases were $570,000, direct labor was $249,000 for the year, and factory overhead was $141,000.

Prepare a cost of goods sold budget for Sleep Tight, Inc.

Sleep Tight, Inc.
Cost of Goods Sold Budget
For the Year Ending December 31
Finished goods inventory, January 1     $
Work in process inventory, January 1   $  
Direct materials:      
Direct materials, January 1 $    
Direct materials purchases      
Cost of direct materials available for sale $    
Direct materials inventory, December 31      
Cost of direct materials placed in production $    
Direct labor      
Factory overhead      
Total manufacturing costs      
Total work in process during the period   $  
Work in process inventory, December 31      
Cost of goods manufactured      
Cost of finished goods available for sale     $
Finished goods inventory, December 31      
Cost of goods sold     $

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