hello, how to calculate and what's the right answer? First Class, Inc., expects to sell 26,000 pool cues for $14 each. Direct materials costs are $2, direct manufacturing labor is $4, and manufacturing overhead is $0.89 per pool cue. The following inventory levels apply to 2019:Beginning inventoryEnding inventoryDirect materials31,000 units31,000 unitsO unitsWork – in – process inventoryFinished goods inventoryO units1,800 units3,300 unitsOn the 2019 budgeted income statement, what amount will be reported for cost of goods sold?A. $189,475B. $201,877C. $168,805O D. $179,140

First Class, Inc., expects to sell 26,000 pool cues for $14 each. Direct materials costs are $2, direct manufacturing labor is $4, and manufacturing overhead is $0.89 per pool cue. The following inventory levels apply to 2019: Ending inventory Beginning inventory 31,000 units O units Direct materials 31,000 units O units Work - in - process inventory Finished goods inventory 1,800 units 3,300 units On the 2019 budgeted income statement, what amount will be reported for cost of goods sold? O A. $189,475 O B. $201,877 O C. $168,805 O D. $179,140

First Class, Inc., expects to sell 26,000 pool cues for $14 each. Direct materials costs are $2, direct manufacturing labor is $4, and manufacturing overhead is $0.89 per pool cue. The following inventory levels apply to 2019: Ending inventory Beginning inventory 31,000 units O units Direct materials 31,000 units O units Work - in - process inventory Finished goods inventory 1,800 units 3,300 units On the 2019 budgeted income statement, what amount will be reported for cost of goods sold? O A. $189,475 O B. $201,877 O C. $168,805 O D. $179,140

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 5E: Prepare a cost of goods sold budget for MacLaren Manufacturing Inc. for the year ended December 31,...

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Question

hello, how to calculate and what's the right answer?

First Class, Inc., expects to sell 26,000 pool cues for $14 each. Direct materials costs are $2, direct manufacturing labor is $4, and manufacturing overhead is $0.89 per pool cue. The following inventory levels apply to 2019:
Beginning inventory
Ending inventory
Direct materials
31,000 units
31,000 units
O units
Work – in – process inventory
Finished goods inventory
O units
1,800 units
3,300 units
On the 2019 budgeted income statement, what amount will be reported for cost of goods sold?
A. $189,475
B. $201,877
C. $168,805
O D. $179,140

Expert Solution

Step 1

Formula:

Total manufacturing cost = Direct materials + Direct labor + manufacturing overhead

Sum of direct materials , direct labor and manufacturing overhead derives the total manufacturing cost.

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