For work done during August, Printing Press Company incurred direct materials costs of $130,000 and conversion costs of $259,000. The company employs a just-in-time operating philosophy and backflush costing. At the end of August, it was determined that the Work in Process Inventory account had been assigned $1,000 of costs, and the ending balance of the Finished Goods Inventory account was $3,000. There were no beginning inventory balances. What is the Cost of Goods Sold account's ending balance for August?
A) $389,000
B) $388,000
C) $386,000
D) $385,000
Correct Answer:
Verified
Q123: A goal of process value analysis (PVA)
Q124: Identify the following activities, performed on a
Q125: For work done during August, Printing Press
Q127: Define activity-based costing. Explain why this approach
Q129: Backflush costing aims at reducing waste in
Q130: Both traditional and backflush costing have an
Q132: In a just-in-time environment using backflush costing,the
Q134: Hugley Corp.recently installed three just-in-time work areas
Q136: What would a company using an activity-based
Q138: How can activity-based systems help managers in
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents