Question

_____ 2. The Cost of Goods Manufactured represents: A. the amount of cost charged to jobs during the period. B. the amount of cost transferred from Finished Goods to Cost of Goods Sold during the period. C. the amount of cost placed into production during the period. D. the cost of goods completed during the current year whether they were started before or during the current year.

Answer 1

C. the amount of cost placed into production during the period.

Step-by-step explanation:

The Cost of Goods Manufactured comprehends all direct materials, direct labor, and factory overhead incurred during the period. Adding the beginning work in process inventory and deducting the ending work in process Inventory.

Formula: COGM

Direct Materials Used (Beggining Iinventory + Purchases - Ending Inventory)

+ Direct Labor Used

+ Manufacturing Overhead

+ Beginning Work in Process (WIP) Inventory

- Ending Work in Process (WIP) Inventory