Total production costs on the production schedule should be equal to cost of goods sold in the pro forma income statement.

Question

Quizplus · Accepted Answer

Total production costs on the production schedule include the costs associated with producing goods during a specific period, while cost of goods sold (COGS) on the pro forma income statement reflects the cost of the goods that were actually sold during that period. These figures can differ due to changes in inventory levels.

Total Production Costs on the Production Schedule Should Be Equal