What is the amount of cost of goods manufactured


Problem:

Wayne Company's beginning and ending inventories for the month of June were as follows:

June 1 June 30
Direct Materials $67,200 $62,400
Work in Process $144,900 $171,100
Finished Goods $84,500 $78,100

Production data for the month follow:

Direct labor cost incurred $200,400
Direct labor-hours 24,900
Actual manufacturing overhead cost incurred $131,600
Direct materials purchases $165,200

Wayne applies manufacturing overhead cost to jobs based on direct labor-hours, and the predetermined rate is $6 per direct labor-hour. The company does not close underapplied or overapplied manufacturing overhead to Cost of Goods Sold until the end of the year. What is the amount of cost of goods manufactured?

  • $493,600
  • $491,100
  • $496,600
  • $500,100

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Accounting Basics: What is the amount of cost of goods manufactured
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