Question

Oriole Company reported the following year-end information: beginning work in process inventory, $84000; cost of goods manufactured, $780000; beginning finished goods inventory, $54000; ending work in process inventory, $74000; and ending finished goods inventory, $44000. How much is Oriole’s cost of goods sold for the year?

Answer 1

Answer:

$790,000.00

Explanation:

The cost of goods sold (COGs) is determined by the formula below

Beginning Finished Goods Inventory + Cost of Goods Manufactured – Ending Finished Goods Inventory.

For Oriole company

Beginning finished goods inventory: $54,000.00

costs of good manufactured: $780,000.00

Ending finished goods inventory :$44,000.00

COGs= ($54,000+$780,000)-$44,000

 =$834,000- $ 44,000

=$790,000.00