Practice Exercise 2

Lopez Corporation incurred the following costs while manufacturing its product.

Materials used in product		$128,200		Advertising expense		$47,700
Depreciation on plant		64,500		Property taxes on plant		22,300
Property taxes on store		8,540		Delivery expense		27,800
Labor costs of assembly-line workers		119,000		Sales commissions		38,900
Factory supplies used		33,500		Salaries paid to sales clerks		58,000

Work in process inventory was $13,500 at January 1 and $17,200 at December 31. Finished goods inventory was $68,400 at January 1 and $47,700 at December 31.

Compute cost of goods manufactured. Compute cost of goods sold.