ComPrint Co. had the following beginning and ending inventory balances for the year ended December 31:$$\begin{array} { l c c }
& \text { January 1 } & \text { December } 31 \
\text { Materials } & \$ 10,000 & \$ 8,000 \
\text { Work in Process } & \$ 18,000 & \$ 17,000 \
\text { Finished Goods } & \$ 21,000 & \$ 16,500
\end{array}$$
In addition, direct labour costs of $30,000 were incurred, overhead equalled $42,000, materials purchased were $27,000, and selling and administrative costs were $22,000. ComPrint Co. sold 25,000 units of product during the year at a sales price of $5.00 per unit.

-Refer to the Figure.What were the total manufacturing costs for the year?
A)$101,000
B)$102,000
C)$106,500
D)$123,000

Question

ComPrint Co. had the following beginning and ending inventory balances for the year ended December 31:$$\begin{array} { l c c } 
& \text { January 1 } & \text { December } 31 \
\text { Materials } & \$ 10,000 & \$ 8,000 \
\text { Work in Process } & \$ 18,000 & \$ 17,000 \
\text { Finished Goods } & \$ 21,000 & \$ 16,500
\end{array}$$
In addition, direct labour costs of $30,000 were incurred, overhead equalled $42,000, materials purchased were $27,000, and selling and administrative costs were $22,000. ComPrint Co. sold 25,000 units of product during the year at a sales price of $5.00 per unit.
 
-Refer to the Figure.What were the total manufacturing costs for the year?
A)$101,000
B)$102,000
C)$106,500
D)$123,000

Quizplus · Accepted Answer

Total manufacturing costs = Beginning work in process inventory + Direct labour costs + Overhead + Ending work in process inventory - Beginning materials inventory + Materials purchased - Ending materials inventory= $18,000 + $30,000 + $42,000 + $17,000 - $10,000 + $27,000 - $8,000= $101,000

ComPrint Co In Addition, Direct Labour Costs of $30,000 Were Incurred, Overhead