A company had beginning inventories as follows: Direct Materials, $300; Work-in-Process, $500; Finished Goods, $700. It had ending inventories as follows: Direct Materials, $400; Work-in-Process, $600; Finished Goods, $800. Material Purchases (net including freight) were $1,400, Direct Labor $1,500, and Manufacturing Overhead $1,600. What is the Cost of Goods Sold for the period?

Question

Hubby

Business

13 October, 23:26

A company had beginning inventories as follows: Direct Materials, $300; Work-in-Process, $500; Finished Goods, $700. It had ending inventories as follows: Direct Materials, $400; Work-in-Process, $600; Finished Goods, $800. Material Purchases (net including freight) were $1,400, Direct Labor $1,500, and Manufacturing Overhead $1,600. What is the Cost of Goods Sold for the period?

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King Parsons · Answer 1

Cost of Goods Sold is $4,200.

Explanation:

Cost of Goods Sold

Beginning Direct Materials $300

+ Material Purchases $1,400

- Ending Direct Materials $400

Total material Cost $1,300

Direct Labor $1,500

Manufacturing Overhead $1,600

Total manufacturing Cost $4,400

+ Beginning Work-in-Process $500

- Ending Work-in-Process $600

Cost of Goods Manufactured $4,300

+ Beginning Finished Goods, $700

- Ending Finished Goods, $800

Cot of Goods Sold $4,200