Example 49: Prepare a cost flow diagram for the following information and solve for the balance in direct materials, the cost of goods manufactured, the balance in finished goods, and the cost of goods sold.

For Specific Date

Work-in-process inventory, Jan. 1, 2017 $10

Direct materials inventory, Dec. 31, 2017 $4

Finished goods inventory, Dec. 31, 2017 $16

Accounts payable, Jan. 1, 2017 $24

Accounts receivable, Jan. 1, 2017 $53

Work in progress inventory, Dec. 31, 2017 $5

Finished goods inventory, Jan. 1. 2017 $46

Accounts receivable, Dec. 31, 2017 $32

Accounts payable, Jan. 1, 2017 $45

Direct materials inventory, Jan. 1, 2017 $34

For Year 2017

Plant utilities $8

Indirect manufacturing labor $21

Depreciation - plant & equipment $6

Revenues $359

Miscellaneous manufacturing overhead $15

Marketing, distribution - service costs $90

Direct materials purchased $88

Direct manufacturing labor $40

Plant supplies used $9

Property taxes on plant $2