Apex Manufacturing expects to sell 22,000 boxes in 2013. The company had enough beginning inventory materials to produce 26,000 units. The beginning inventory of finished units totaled 1,800 with a target ending inventory of 2,300 units. The boxes sell for 4 dollars, and the company keeps no work-in-process inventory. Direct materials cost for each box total 1.20 dollars, while direct labor is 0.55, factory overhead is 0.25 per box, and shipping costs total 5 dollars. What will be Apex's Cost of Goods Sold in 2013?

Principles of Accounting Volume 2
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ISBN:9781947172609
Author:OpenStax
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Chapter6: Activity-based, Variable, And Absorption Costing
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Apex Manufacturing expects to sell 22,000 boxes in
2013. The company had enough beginning
inventory materials to produce 26,000 units. The
beginning inventory of finished units totaled 1,800
with a target ending inventory of 2,300 units. The
boxes sell for 4 dollars, and the company keeps no
work-in-process inventory. Direct materials cost for
each box total 1.20 dollars, while direct labor is
0.55, factory overhead is 0.25 per box, and shipping
costs total 5 dollars. What will be Apex's Cost of
Goods Sold in 2013?
Transcribed Image Text:Apex Manufacturing expects to sell 22,000 boxes in 2013. The company had enough beginning inventory materials to produce 26,000 units. The beginning inventory of finished units totaled 1,800 with a target ending inventory of 2,300 units. The boxes sell for 4 dollars, and the company keeps no work-in-process inventory. Direct materials cost for each box total 1.20 dollars, while direct labor is 0.55, factory overhead is 0.25 per box, and shipping costs total 5 dollars. What will be Apex's Cost of Goods Sold in 2013?
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