213k views
2 votes
Sunland Company has $19000 of ending finished goods inventory as of December 31, 2019. If beginning finished goods inventory was $14000 and cost of goods sold was $49000, how much would Sunland report for cost of goods manufactured?

User Zfou
by
7.9k points

1 Answer

5 votes

Answer:

$54,000

Step-by-step explanation:

The computation of the reported cost of goods manufactured is shown below:

We know that

Cost of goods manufactured = Ending finished goods inventory + cost of goods sold - beginning finished goods inventory

= $19,000 + $49,000 - $14,000

= $54,000

We simply added the inventory of finished goods and subtract the inventory of finished goods from the cost of the sold goods.

User Justin Smith
by
7.7k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.