Current Attempt in Progress At May 31, 2027, the accounts of Crane Company show the following. 1. May 1 inventories -finished goods \( \$ 13,080 \), work in process \( \$ 15,240 \), and raw materials \( \$ 8,480 \). 2. May 31 inventorles-finished goods \( \$ 9,880 \), work in process \( \$ 16,560 \), and raw matepials \( \$ 7,360 \). 3. Debit postings to work in process were direct materials \( \$ 64,920 \), direct labor \( \$ 52,000 \), and manufacturing overhead applied \( \$ 41,600 \). (Assume that overhead applied was equal to overhead incurred.) 4. Sales revenue totaled \( \$ 223,600 \). (a) Your answer is correct. Prepare a condensed cost of goods manufactured schedule for May 2027. CRANE COMIPANY Cost of Goods Manufactured Sehedule For the Month Ended May 31, 2027 rk in Process, May 1 \$ \( \square \) ct Materials Used \$ \( \square \) ect Labor \( \square \) iufacturing Overhead Applied 41600 (3) ItManufarthuine Cosets 158520

To prepare a condensed cost of goods manufactured schedule for Crane Company for the month ended May 31, 2027, we will follow these steps: 1. **Calculate the total cost of direct materials used.** 2. **Sum up the total manufacturing costs.** 3. **Calculate the cost of goods manufactured.** ### Step 1: Calculate Direct Materials Used To find the direct materials used, we need to consider the beginning raw materials inventory, purchases (which we will assume are included in the debit postings), and the ending raw materials inventory. - **Beginning Raw Materials Inventory (May 1)**: \( \$8,480 \) - **Ending Raw Materials Inventory (May 31)**: \( \$7,360 \) - **Direct Materials Posted to Work in Process**: \( \$64,920 \) The formula for direct materials used is: \[ \text{Direct Materials Used} = \text{Beginning Raw Materials} + \text{Purchases} - \text{Ending Raw Materials} \] Since we are given the direct materials posted to work in process, we can directly use that value as the direct materials used. \[ \text{Direct Materials Used} = \$64,920 \] ### Step 2: Calculate Total Manufacturing Costs Total manufacturing costs include direct materials used, direct labor, and manufacturing overhead applied. - **Direct Labor**: \( \$52,000 \) - **Manufacturing Overhead Applied**: \( \$41,600 \) Now, we can sum these costs: \[ \text{Total Manufacturing Costs} = \text{Direct Materials Used} + \text{Direct Labor} + \text{Manufacturing Overhead Applied} \] \[ \text{Total Manufacturing Costs} = \$64,920 + \$52,000 + \$41,600 \] ### Step 3: Calculate Cost of Goods Manufactured To find the cost of goods manufactured, we need to add the beginning work in process inventory and subtract the ending work in process inventory. - **Beginning Work in Process Inventory (May 1)**: \( \$15,240 \) - **Ending Work in Process Inventory (May 31)**: \( \$16,560 \) The formula for cost of goods manufactured is: \[ \text{Cost of Goods Manufactured} = \text{Total Manufacturing Costs} + \text{Beginning Work in Process} - \text{Ending Work in Process} \] Now, let's calculate each component step by step. ### Calculations 1. **Total Manufacturing Costs**: \[ \text{Total Manufacturing Costs} = 64920 + 52000 + 41600 = 158520 \] 2. **Cost of Goods Manufactured**: \[ \text{Cost of Goods Manufactured} = 158520 + 15240 - 16560 \] Now, let's calculate the final value for the cost of goods manufactured. \[ \text{Cost of Goods Manufactured} = 158520 + 15240 - 16560 = 158520 + 15240 - 16560 = 158520 - 1320 = 157200 \] ### Final Cost of Goods Manufactured Schedule Now we can summarize the findings in the condensed cost of goods manufactured schedule: ``` CRANE COMPANY Cost of Goods Manufactured Schedule For the Month Ended May 31, 2027 Work in Process, May 1: $ 15,240 Direct Materials Used: $ 64,920 Direct Labor: $ 52,000 Manufacturing Overhead Applied: $ 41,600 Total Manufacturing Costs: $ 158,520 Less: Work in Process, May 31: $ 16,560 Cost of Goods Manufactured: $ 157,200 ``` This schedule summarizes the cost of goods manufactured for Crane Company for May 2027.