Question

Beginning finished goods inventory $ 10,000 ending finished goods inventory $ 8,200 unadjusted cost of goods sold $ 48,000 what is the cost of goods manufactured?

Answer 1

Manufacturing cost is the total manufacturing cost of goods completed during a particular accounting period. These costs include direct materials, direct labor, and manufacturing overhead for products transferred from manufacturing to finished goods inventory.

The manufacturing cost of goods is important. Because it gives management an overview of the total cost of production and whether that cost is high or low. By better understanding the cost of goods produced, the company can make adjustments to maximize overall profitability.

Correct answer $46400

Working

Unadjusted cost of goods sold   $              48,000

Add: Ending finished goods   $                8,400

Less: Beginning finished goods   $           (10,000)

Cost of goods manufactured   $              46,400

Learn more about  goods manufactured  here

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