Question

During April, the Meade Enterprises had the following operating results: Sales revenue $ 1,570,000 Gross margin $ 635,000 Ending work-in-process inventory $ 53,500 Beginning work-in-process inventory $ 87,000 Ending finished goods inventory $ 103,500 Beginning finished goods inventory $ 132,000 Marketing costs $ 257,000 Administrative costs $ 157,000 What is the cost of goods manufactured for April

Answer 1

Answer:

$906,500

Explanation:

The computation of cost of goods manufactured for April is shown below:-

Cost of goods manufactured = (Sales revenue - Gross margin) + Ending finished good - Beginning finished goods

= ($1,570,000 - $635,000) + $ 103,500 - $132,000

= $935,000 + $103,500 - $132,000

= $906,500

Hence, the correct answer is $906,500