Using the information below, calculate the cost of goods manufactured for the period.

Beginning Raw Materials Inventory $25,000

Ending Raw Materials Inventory $30,000

Beginning Work in Process Inventory $55,000

Ending Work in Process Inventory $64,000

Beginning Finished Goods Inventory $80,000

Ending Finished Goods Inventory $67,000

Cost of Goods Sold for the period $540,000

Sales revenues for the period $1,254,000

Operating expenses for the period $232,000

a. $549,000.

b. $527,000.

c. $525,000.

d. $553,000.

e. $536,000.

Question

Damaris Lam

Business

20 February, 21:35

Using the information below, calculate the cost of goods manufactured for the period.

Beginning Raw Materials Inventory $25,000

Ending Raw Materials Inventory $30,000

Beginning Work in Process Inventory $55,000

Ending Work in Process Inventory $64,000

Beginning Finished Goods Inventory $80,000

Ending Finished Goods Inventory $67,000

Cost of Goods Sold for the period $540,000

Sales revenues for the period $1,254,000

Operating expenses for the period $232,000

a. $549,000.

b. $527,000.

c. $525,000.

d. $553,000.

e. $536,000.

+2

Answers (1)

Know the Answer?

Evangeline Burns · Answer 1

The correct answer is B.

Explanation:

Giving the following information:

Beginning Finished Goods Inventory $80,000

Ending Finished Goods Inventory $67,000

Cost of Goods Sold for the period $540,000

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

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

540,000 = 80,000 + cost of goods manufactured - 67,000

540,000 - 80,000 + 67,000 = cost of goods manufactured

$527,000 = cost of goods manufactured