Why Choose Us?
0% AI Guarantee
Human-written only.
24/7 Support
Anytime, anywhere.
Plagiarism Free
100% Original.
Expert Tutors
Masters & PhDs.
100% Confidential
Your privacy matters.
On-Time Delivery
Never miss a deadline.
Selected information concerning the operations of a company for the year ended December 31 is as follows: Units produced 20,000 Units sold 18,000 Direct materials used $80,000 Direct labor incurred $40,000 Factory overhead $74,000 Work in process inventories at the beginning and end of the year were zero
Selected information concerning the operations of a company for the year ended December 31 is as follows: Units produced 20,000 Units sold 18,000 Direct materials used $80,000 Direct labor incurred $40,000 Factory overhead $74,000 Work in process inventories at the beginning and end of the year were zero. Beginning inventory of finished goods was $9,650 (for 1,000 units). Cost of goods sold was $174,600. What was the company's finished goods inventory cost at December 31? a. $98,050 b. $29,100 $29,050 d. S40,600 c.
Expert Solution
Correct answer---------------(c) $29,050
Working
| Beginning finished goods inventory | $ 9,650 |
| Add: Cost of goods manufactured | $ 194,000 |
| Cost of goods available for sale | $ 203,650 |
| Less: Cost of goods sold | $ 174,600 |
| Ending finished goods inventory | $ 29,050 |
.
Calculation of cost of goods manufactured
| Direct material used | $ 80,000 |
| Direct labor incurred | $ 40,000 |
| Overhead incurred | $ 74,000 |
| Total cost of goods manufactured | $ 194,000 |
Archived Solution
You have full access to this solution. To save a copy with all formatting and attachments, use the button below.
For ready-to-submit work, please order a fresh solution below.
