Desrevisseau Inc., a manufacturing company, has provided the following data for

Question

Desrevisseau Inc., a manufacturing company, has provided the following data for the month of August. The balance in the Work in Process inventory account was $19,000 at the beginning of the month and $43,600 at the end of the month. During the month, the company incurred direct materials cost of $120,600 and direct labor cost of $75,000. The actual manufacturing overhead cost incurred was $76,000. The manufacturing overhead cost applied to jobs was $79,000. The cost of goods manufactured for August was:

Explanation / Answer

Cost of goods manufactured =
Direct materials + Direct labor + Manufacturing overhead applied + Beginning work in process inventory - Ending work in process inventory

=$120,600 + $75,000 + $79,000 + $19,000 – $43,600

=$293,600 - $43,600

=$250,000

Related Questions

Navigate

• Browse (All)
• Browse D
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.