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djverab [1.8K]
3 years ago
15

During the current year, the Jules Company incurred the following product costs:Direct materials used in production $250,000Dire

ct labor $185,000Manufacturing overhead $245,500The Jules Company's beginning Work in Process Inventory was $20,000 and its ending Work in Process Inventory amounted to $30,000. What is the company's cost of finished goods manufactured for the year? A) $700,500. B) $690,500. C) $430,500. D) $670,500
Business
1 answer:
ICE Princess25 [194]3 years ago
5 0

Answer:

Option (D) is correct.

Explanation:

Given that,

Direct materials used in production = $250,000

Direct labor = $185,000

Manufacturing overhead = $245,500

Beginning Work in Process Inventory = $20,000

Ending Work in Process Inventory = $30,000

Cost of finished goods manufactured for the year:

= Direct materials used in production + Direct labor + Manufacturing overhead + Beginning Work in Process Inventory

= $250,000 + $185,000 + $245,500 + $20,000 - $30,000

= $670,500

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