Cost of Goods Manufactured Statement

True Tamplin

Written by True Tamplin, BSc, CEPF®
Updated on August 23, 2021

Cost of goods manufactured is the total cost incurred by a manufacturing company to manufacture product(s) during a particular period of time.

Format:

Cost of goods manufactured statement

Example:

John Manufacturing Company, a manufacturer of soda bottles, had the following inventory balances at the beginning and end of 2018.
Cost of goods sold statement example
During 2018, the company purchased $1 000 000 of raw material and direct labor incurred of $1 600 000. Manufacturing overhead costs were as follows:
Cost and its types - Example 1
Required:

  • Prepare Cost of goods manufacturing statement

Solution:

Cost of goods manufactured statement example solution

True Tamplin, BSc, CEPF®

About the Author
True Tamplin, BSc, CEPF®

True Tamplin is a published author, public speaker, CEO of UpDigital, and founder of Finance Strategists.

True contributes to his own finance dictionary, Finance Strategists, and has spoken to various financial communities such as the CFA Institute, as well as university students like his Alma mater, Biola University, where he received a bachelor of science in business and data analytics.

To learn more about True, visit his personal website, view his author profile on Amazon, his interview on CBS, or check out his speaker profile on the CFA Institute website.

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