Question

Arturo​ Manufacturing, Inc. provided the following information for the​ year: Beginning Balancelong dash​Work-in-Process Inventory $ 152 comma 000 Ending Balancelong dash​Work-in-Process Inventory 63 comma 000 Beginning Balancelong dashDirect Materials 269 comma 000 Ending Balancelong dashDirect Materials 52 comma 200 Purchaseslong dashDirect Materials 131 comma 000 Direct Labor 73 comma 120 Indirect Materials 52 comma 700 Indirect Labor 133 comma 500 Depreciation on Factory Plant and Equipment 73 comma 780 Plant Utilities and Insurance 71 comma 600 How much is the cost of goods​ manufactured?

Answer 1

Answer:

Cost of good manufactured=  $841700

Explanation:

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

Cost of good manufactured= Beginning work in progress+ direct materials of the period + direct labor + manufactured overhead - ending work in progress

Beginning work in progress= $152000

Direct materials = beginning inventory + purchase - ending inventory= 269000 +131000 - 52000= 348000

Direct labor= 73120

Manufactured overhead=ndirect Materials + Indirect Labor + Depreciation on Factory Plant and Equipment + Plant Utilities and Insurance= 52700 + 133500 + 73780 + 71600= $331580

Ending work in progress= 63000

Cost of good manufactured= 152000 + 348000 + 73120 + 331580 - 63000= $841700