Question

If budgeted beginning finished goods inventory is $8,000, budgeted ending finished goods inventory is $9,400, and budgeted cost of goods sold is $10,260, budgeted cost of goods manufactured should be

Answer 1

Answer:

Cost of goods manufactured= $11,660

Explanation:

Giving the following information:

Beginning inventory= $8,000

Ending inventory= $9,400

COGS= $10,260

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

10,260 = 8,000 + cost of goods manufactured - 9,400

cost of goods manufactured= 10,260 - 8,000 + 9,400

cost of goods manufactured= $11,660