Question

Calculate Cost of Goods Manufactured for 2019 using the following information. Direct Materials, Jan. 1, 2019 $ 40,000 Work-in-Process, Dec. 31, 2019 69,000 Direct Labor 48,500 Finished Goods, Dec. 31, 2019 105,000 Finished Goods, Jan. 1, 2019 128,000 Manufacturing Overhead 72,500 Direct Materials, Dec. 31, 2019 43,000 Work-in Process, Jan. 1, 2019 87,000 Purchases of Direct Material 75,000

Answer 1

$234,000

Step-by-step explanation:

Calculation to determine the Cost of Goods Manufactured for 2019

First step is to calculate the direct materials used in production

Direct materials used in production=$40,000+$75,000-$43,000

Direct materials used in production=$72,000

Second step is to calculate the COGM

COGM=$87,000+$72,000+$48,500+$72,500-$69,000

COGM=$211,000

Now let calculate the COGS

COGS=$128,000+$211,000-$105,000

COGS=$234,000

Therefore the Cost of Goods Manufactured for 2019 is $234,000