Question

Assume the following information pertaining to Moonbeam Company: Beginning Ending Finished goods inventory $ 148,000 $ 140,200 Work in process inventory 97,000 119,000 Direct materials 132,000 147,400 Costs incurred during the period are as follows: Total manufacturing costs $ 920,000 Factory overhead 211,000 Direct materials used 166,200 Cost of goods sold is calculated to be:

Answer 1

Answer:

$905,800

Explanation:

Calculation for Cost of goods sold

Total manufacturing costs $ 920,000

Add Begining Work in process inventory 97,000

Less Ending Work in process inventory (119,000)

Cost of goods manufactured $898,000

Add Begining Finished goods inventory $148,000

Less Ending Finished goods inventory$ (140,200)

Cost of goods sold $905,800

Therefore the Cost of goods sold is calculated to be: $905,800