Question

The following information pertains to the Packer Corporation. Calculate the cost of goods sold for the period:

Beginning Raw Materials $30,000
Ending Raw Materials $70,000
Beginning Work in Process Inventory $40,000
Ending Work in Process Inventory $46,000
Beginning Finished Goods Inventory $72,000
Ending Finished Goods Inventory $68,000
Cost of Goods Manufactured for the period $246,000
a. $250,000.
b. $290,000.
c. $242,000.
d. $246,000.
e. $258,000.

Answer 1

COGS= $250,000

Step-by-step explanation:

Giving the following information:

Beginning Finished Goods Inventory $72,000

Ending Finished Goods Inventory $68,000

Cost of Goods Manufactured for the period $246,000

To calculate the cost of goods sold, we need to use the following formula:

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

COGS= 72,000 + 246,000 - 68,000

COGS= $250,000