The Cost of Goods Manufactured during the year was:

Question

Quizplus · Accepted Answer

The Cost of Goods Manufactured formula is:
Beginning inventory of work in process
+ Total manufacturing costs during the period
- Ending inventory of work in process
= Cost of Goods Manufactured

Using the values from the question, we can calculate the Cost of Goods Manufactured:

Beginning inventory of work in process = $72,000
Direct materials used = $276,000
Direct labor = $209,000
Manufacturing overhead = $179,000
Total manufacturing costs = $664,000
Ending inventory of work in process = $28,000

Cost of Goods Manufactured = $72,000 + $664,000 - $28,000 = $736,000

Therefore, the correct answer is C) $736,000.

The Cost of Goods Manufactured During the Year Was