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Borchardt Corporation has provided the following data concerning last month’s operations. Direct materials $ 29,000 Direct labor $ 58,000 Manufacturing overhead applied to Work in Process $ 82,000 Beginning Ending Work in process inventory $ 66,000 $ 57,000 How much is the cost of goods manufactured for the month on the Schedule of Cost of Goods Manufactured?

Respuesta :

Answer: $178,000

Explanation:

The following information can be derived from the question:

We have to first calculate the total manufacturing cost. This will be:

Direct material 29000

Add: Direct labor 58000

Add: manufacturing overhead 82000

Then the manufacturing cost will be:

= 29000 + 58000 + 82000

= 169000

We then add the beginning work in progress and then subtract the ending work in progress. This will be:

Manufacturing cost = 169000

Add: Beginning WIP = 66000

Less: Ending WIP = 57000

= 169000 + 66000 - 57000

= $178,000

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