Question

Calculate the cost of goods manufactured using the following information: Direct materials used $ 300,400 Direct labor used 133,900 Factory overhead costs 265,900 General and administrative expenses 87,400 Selling expenses 50,700 Work in Process inventory, January 1 120,400 Work in Process inventory, December 31 127,800 Finished goods inventory, January 1 234,000 Finished goods inventory, December 31 240,600

Answer 1

cost of goods manufactured= $692,800

Step-by-step explanation:

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

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

cost of goods manufactured= 120,400 + 300,400 + 133,900 + 265,900 - 127,800

cost of goods manufactured= $692,800