Question

Mustang Corporation reports the following for the month of April:Finished goods inventory, April 1$32,600 Finished goods inventory, April 30 26,600 Total cost of goods manufactured 123,800The cost of goods sold for April is:a. $61,900.b. $124,500.c. $112,900.d. $173,700.e. $150,000

Answer 1

Answer:

COGS= $129,800

Explanation:

Giving the following information:

Finished goods inventory, April 1$32,600  

Finished goods inventory, April 30 26,600

Total cost of goods manufactured 123,800

To calculate the cost of goods sold, we need to use the following formula:

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

COGS= 32,600 + 123,800 - 26,600

COGS= $129,800