Problem:
A company incurred total manufacturing costs of $500,000 during 2007. Work in process inventories at the beginning and end of 2007 were $100,000 and $50,000 respectively.
Required:
Question: If finished goods inventories at the beginning and end of 2007 were $30,000 and $80,000 respectively, what was the cost of goods sold for the period?
A) 450,000
B) 500,000
C) 520,000
D) 550,000
E) 580,000
Note: Be sure to show how you arrived at your answer.