Schedule of cost goods sold
For the year ended December 31, 20×2
| Particular | Amounts |
| Finished goods inventory, January 1 | 35,000 |
| Add: cost of goods manufactured | 1,772,500 |
| Cost of goods available for sale | 1,807,500 |
| Less: finished goods inventory, December 31 | 40,000 |
| Cost of goods sold | 1,767,500 |
| Add: under applied manufacturing overhead
($580,000-$577,500) |
2,500 |
| Cost of goods sold (adjusted for under applied overhead) | 1,770,000 |