Question

Using the information below for Sundar Company; determine the cost of goods manufactured during the current year: Direct materials used $ 20,700 Direct labor used 26,200 Factory overhead 46,600 Beginning work in process 12,400 Ending work in process 13,000

Answer 1

Answer:

$92,900

Explanation:

The computation of the cost of goods manufactured is shown below:

Cost of goods manufactured = Beginning Work in process + Manufacturing cost - Ending Work in process

where manufacturing cost equal to

= Direct material used + Direct labor cost + Manufacturing Overhead cost

= $20,700 + $26,200 + $46,600

= $93,500

So the Cost of goods manufactured would be

= $12,400 + $93,500 - $13,000

= $92,900