Williams Brothers Company makes products for sporting events. The following data are for the year ended December 31, 2013:
Manufacturing overhead $195,000
Finished goods inventory, Jan 1, 2013 $120,000
Finished goods inventory, Dec 31, 2013 $210,000
Materials inventory, Jan 1, 2013 $67,500
Materials inventory, Dec 31, 2013 $97,500
Materials purchases $262,500
Direct labor $337,500
Work in process inventory, Jan 1, 2013 $45,000
Work in process inventory, Dec 31, 2013 $60,000
Requirements:
a. Prepare a cost of goods manufactured statement.
b. Compute the cost of goods sold as of December 31, 2013.