The following account balances were taken from the general ledger of Bailey Manufacturer. Compute the cost...

 

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The following account balances were taken from the general ledger of Bailey Manufacturer. Compute the cost of goods sold for the year. Raw materials inventory beginning $52,000 Raw materials inventory - ending $46,000 WIP inventory beginning $110,000 WIP inventory - ending $85,000 Finished goods inventory - beginning $26,000 Finished goods inventory - ending $54,000 Material purchases $31,000 Manufacturing OH applied to WIP- $71,000 Actual OH costs - $68,000 Marketing costs - $12,000 General and administrative costs - $12,000 Depreciation on office equipment - $17,000 Direct labor- $178,000 Sales commissions $62,000 The following account balances were taken from the general ledger of Bailey Manufacturer. Compute the cost of goods sold for the year. Raw materials inventory beginning $52,000 Raw materials inventory - ending $46,000 WIP inventory beginning $110,000 WIP inventory - ending $85,000 Finished goods inventory - beginning $26,000 Finished goods inventory - ending $54,000 Material purchases $31,000 Manufacturing OH applied to WIP- $71,000 Actual OH costs - $68,000 Marketing costs - $12,000 General and administrative costs - $12,000 Depreciation on office equipment - $17,000 Direct labor- $178,000 Sales commissions $62,000

Answer rating: 100% (QA)

To calculate the cost of goods sold COGS for the year we need to consider the changes in inventory a... View the full answer