Question

Compute cost of goods sold for the period using the following information. Finished goods inventory, beginning $ 374,000 Work in process inventory, beginning 85,500 Work in process inventory, ending 76,800 Cost of goods manufactured 932,800 Finished goods inventory, ending 286,000

Answer 1

Answer:

COGS= $1,029,500

Explanation:

Giving the following information:

Finished goods inventory, beginning $ 374,000

Work in process inventory, beginning 85,500

Work in process inventory, ending 76,800

Cost of goods manufactured 932,800

Finished goods inventory, ending 286,000

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

cost of goods manufactured= 85,500 + 932,800 - 76,800

cost of goods manufactured= 941,500

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

COGS= 374,000 + 941,500 - 286,000= $1,029,500