Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Direct material:
beginning inventory= $1,000
purchases= $20,000
ending inventory= $1,500.
beginning inventory of work-in-process (WIP) was $5,000
ending inventory of WIP was $6,700.
Its cost of direct labor was $12,000, manufacturing overhead $11,000.
Its beginning inventory of finished goods was $3,000, the ending inventory of finished goods was $1,300.
A) Direct material used= beginning inventory + purchases - ending inventory
DM used= 1,000 + 20,000 - 1,500= 19,500
B) cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 5,000 + 19,500 + 12,000 + 11,000 - 6,700= $40,800
C) COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 3,000 + 40,800 - 1,300= $42,500
