Cost of Good: Sold EX.02.37 EX.02.38 ALGO EXO2.39.BLANKSHEETALGO . In September,
ID: 2331445 • Letter: C
Question
Cost of Good: Sold EX.02.37 EX.02.38 ALGO EXO2.39.BLANKSHEETALGO . In September, Lauren Ashley Company Purchased matenals costing S170,000 and incurred direct labor cost of inventories as as follons 130,000. Overhead totaled S400,000 for the month. Information on 30 EX02.41.ALGO EX.02.42.ALGO EX.02.43.ALGO EX.02.44 ALGO Materials $120,000 $130,000 Work in 80,000 90,000 Finished goods 70,000 65,000 EX 02.45 ALGO What was the cost of goods sold for September? EX02.4G ALGO 0. EX.02 50 1. PR 02.53 2. PR.02 55.BLANKSHEET Check My Work Previous Next Progress:9/12 items ignment Score: 15 2896 Save and Ext Subrmit Assignment for Grading AM9:38 /11/2018Explanation / Answer
Cost of Materials Used = Beginning Materials + Materials Purchased - Ending Materials
Cost of Materials Used = $120,000 + $170,000 - $130,000
Cost of Materials Used = $160,000
Manufacturing Cost = Cost of Materials Used + Direct Labor + Overhead
Manufacturing Cost = $160,000 + $130,000 + $400,000
Manufacturing Cost = $690,000
Cost of Goods Manufactured = Beginning Work in Process + Manufacturing Cost - Ending Work in Process
Cost of Goods Manufactured = $80,000 + $690,000 - $90,000
Cost of Goods Manufactured = $680,000
Cost of Goods Sold = Beginning Finished Goods + Cost of Goods Manufactured - Ending Finished Goods
Cost of Goods Sold = $70,000 + $680,000 - $65,000
Cost of Goods Sold = $685,000