Question

Lots of Stuff Company reports the following data for its first year of operation. Cost of goods manufactured - $455,000

Work in process inventory, beginning - 0
Work in process inventory, ending - 140,000
Direct materials used - 110,000
Manufacturing overhead - 185,000
Finished goods inventory, beginning - 0
Finished goods inventory, ending - 90,000What are the total manufacturing​ costs?

Answer 1

Total manufacturing costs= $595,000

Step-by-step explanation:

Giving the following information:

Cost of goods manufactured - $455,000

Work in process inventory, beginning - 0

Work in process inventory, ending - 140,000

Direct materials used - 110,000

Manufacturing overhead - 185,000

Finished goods inventory, beginning - 0

Finished goods inventory, ending - 90,000

Total manufacturing costs= direct material + direct labor + MOH

Direct labor= ?

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

455000= 0 + 110,000 + ? + 185,000 - 140,000

Direct labor= 300,000

Total manufacturing costs= 110,000 + 300,000 + 185000

Total manufacturing costs= 595,000