Jorst Manufacturing began business on 1 January 2017.During its first year of operation,Jorst worked on five industrial jobs and reported the following information at year-end:
$\begin{array}{|l|c|c|c|c|c|}
\hline & \text { Job } 1 & \text { Job } 2 & \text { Job } 3 & \text { Job } 4 & \text { Job } 5 \
\hline \text { Direct materials } & 17,100 & 7900 & 4100 & 3600 & 17,600 \
\hline \text { Direct labour } & 12,900 & 20,900 & 13,500 & 12,900 & 16,900 \
\hline \text { Allocated mfg, overhead } & 1800 & 6100 & 3100 & 7900 & 16,300 \
\hline\
&&&&& \text { Not}\ \text { Job completed: } & 30 \text { Jun } & 1 \mathrm{Sep} & 15 \mathrm{Oct} & 1 \mathrm{Nov} & \text { complet } \
\hline \text { Job sold: } & 10 \mathrm{Jull} & 12 \mathrm{Sep} & \text { Not sold } & \text { Not sold } &\mathrm{N} / \mathrm{A} \
\hline \text { renues: } & 25,100 & 39,500 & \mathrm{~N} / \mathrm{A} & \mathrm{N} / \mathrm{A} &\mathrm{N} / \mathrm{A} \
\hline
\end{array}$

At year-end,what was the balance in Finished goods inventory?

Question

Jorst Manufacturing began business on 1 January 2017.During its first year of operation,Jorst worked on five industrial jobs and reported the following information at year-end:
$\begin{array}{|l|c|c|c|c|c|}
\hline & \text { Job } 1 & \text { Job } 2 & \text { Job } 3 & \text { Job } 4 & \text { Job } 5 \
\hline \text { Direct materials } & 17,100 & 7900 & 4100 & 3600 & 17,600 \
\hline \text { Direct labour } & 12,900 & 20,900 & 13,500 & 12,900 & 16,900 \
\hline \text { Allocated mfg, overhead } & 1800 & 6100 & 3100 & 7900 & 16,300 \
\hline\
&&&&& \text { Not}\ \text { Job completed: } & 30 \text { Jun } & 1 \mathrm{Sep} & 15 \mathrm{Oct} & 1 \mathrm{Nov} & \text { complet } \
\hline \text { Job sold: } & 10 \mathrm{Jull} & 12 \mathrm{Sep} & \text { Not sold } & \text { Not sold } &\mathrm{N} / \mathrm{A}  \
\hline \text { renues: } & 25,100 & 39,500 & \mathrm{~N} / \mathrm{A} & \mathrm{N} / \mathrm{A} &\mathrm{N} / \mathrm{A}  \
\hline
\end{array}$

At year-end,what was the balance in Finished goods inventory?

Quizplus · Accepted Answer

Finished goods inventory is debited when production is completed and credited when the goods are sold. The balance in Finished goods inventory at year-end is the sum of the costs of the jobs that have been completed but not yet sold. In this case, Jobs 1, 2, and 3 have been completed but not yet sold, so the balance in Finished goods inventory is $17,100 + $7,900 + $4,100 = $29,100.

Jorst Manufacturing Began Business on 1 January 2017 At Year-End,what Was the Balance in Finished Goods Inventory? A)

Jorst Manufacturing Began Business on 1 January 2017 At Year-End,what Was the Balance in Finished Goods Inventory?
A)