Question

Riverbed Corporation incurred the following costs while manufacturing its product. Materials used in product $126,100 Advertising expense $53,400 Depreciation on plant 70,700 Property taxes on plant 16,500 Property taxes on store 8,060 Delivery expense 22,000 Labor costs of assembly-line workers 111,900 Sales commissions 44,200 Factory supplies used 24,000 Salaries paid to sales clerks 51,100Work in process inventory was $12,000 at January 1 and $15,500 at December 31. Finished goods inventory was $60,000 at January 1 and $45,600 at December 31.Compute cost of goods manufactured.

Answer 1

Answer:

$345,700

Explanation:

Cost of goods manufactured:

= Material used in product + Depreciation on plant + Labor costs of assembly-line workers + Factory supplies used + Property taxes on plant + Work in process inventory(at Jan 1) - Work in process inventory(at Dec 1)

= $126,100 + 70,700 + 111,900 + 24,000 + 16,500 + $12,000 - $15,500

= $345,700