The cost of goods manufactured equals beginning work in process inventory,plus the total manufacturing cost charged to jobs,less ending work in process inventory.

Question

Quizplus · Accepted Answer

This is the correct formula for calculating the cost of goods manufactured. Beginning work in process inventory is added to the total manufacturing cost charged to jobs, and ending work in process inventory is then subtracted to determine the cost of goods manufactured.

The Cost of Goods Manufactured Equals Beginning Work in Process