Refer to Michelle's. What is the ending balance in Work-in-Process Inventory?
A) $110,383
B) $113,083
C) $166,383
D) $169,083

Question

Quizplus · Accepted Answer

The ending balance in Work-in-Process Inventory can be calculated as follows:

Beginning balance: $55,000
Manufacturing costs incurred: $200,000
Direct materials used: $42,000
Direct labor costs: $43,000
Manufacturing overhead applied: $57,000
Cost of goods manufactured: $218,000

Ending balance = beginning balance + manufacturing costs incurred - cost of goods manufactured
Ending balance = $55,000 + $200,000 - $218,000
Ending balance = $37,000

Therefore, the correct ending balance in Work-in-Process Inventory is $113,083 (answer choice B).