When preparing a cost of goods manufactured statement from the following information, what is the total cost of goods manufactured?
Direct materials $6
Advertising expenses 3
Indirect labour 1
Indirect materials 5
Direct labour 2
Other manufacturing overhead 3

Question

Quizplus · Accepted Answer

The total cost of goods manufactured includes direct materials, direct labor, and manufacturing overhead (indirect labor, indirect materials, and other manufacturing overhead). Thus, $6 (direct materials) + $2 (direct labor) + $1 (indirect labor) + $5 (indirect materials) + $3 (other manufacturing overhead) = $17.

When Preparing a Cost of Goods Manufactured Statement from the Following