Lopez Corporation incurred the following costs while manufacturing its product.
Material used in a product – $120,000
Depreciation on plant ‘ 60,000
Dispatcher’s salary -5,000
Property taxes on store -7,500
Labor costs of assembly-line workers- 110,000
Factory supplies- 23,000
Advertising expense- 45,000
Property taxes on plant- 14,000
Delivery expense ‘ 21,000
Sales commissions ‘ 35,000
Salaries paid to sales clerks ‘ 50,000
Work in process inventory was $12,000 at January 1 and $15,000 at December 31. Finished goods inventory was $60,000 at January 1 and $45,600 at December 31.
(A) compute cost of goods manufactured
(b) compute cost of goods sold.