Question

Rediger Inc., a manufacturing Corporation, has provided the following data for the month of June. The balance in the Work in Process inventory account was $29,000 at the beginning of the month and $20,500 at the end of the month. During the month, the Corporation incurred direct materials cost of $56,400 and direct labor cost of $30,100. The actual manufacturing overhead cost incurred was $53,700. The manufacturing overhead cost applied to Work in Process was $52,400. The cost of goods manufactured for June was: Garrison 16e Rechecks 2017-09-15 Multiple Choice $140,200. $138,900. $148,700. $147,400.

Answer 1

$147,400

Step-by-step explanation:

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

= Direct materials used + Direct labor cost + Manufacturing overhead cost + beginning work-in-process inventory - ending work-in-process inventory

= $56,400 + $30,100 + $52,400 + $29,000 - $20,500

= $147,400

We considered the applied manufacturing overhead cost instead of actual manufacturing cost