Question

Marigold Corp. reported the following year-end information: beginning work in process inventory, $90000; cost of goods manufactured, $866000; beginning finished goods inventory, $162000; ending work in process inventory, $130000; and ending finished goods inventory, $174000. Marigold Corp.'s cost of goods sold for the year is ________.a. $826000.
b. $878000.
c. $692000.
d. $854000.

Answer 1

Answer:

=$854,000

Explanation:

The cost of goods sold is the expense incurred by a manufacturing firm when making goods to be sold to customers. It is calculated using the formula.

Cost of goods sold = Beginning Stock plus purchases/ cost of goods manufactured minus  ending stock

Marigold Corp:

Beginning stock: $162,000

Ending stock: $174,000

cost of goods manufactured, $866000;

cost of goods sold =

$162,000 + 866,000 -$174,000

=$854,000