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A firm uses backflush costing on a direct costing basis. It incurs the following costs this period (the firm has NO fixed overhead costs). Direct
A firm uses backflush costing on a direct costing basis. It incurs the following costs this period (the firm has NOfixed overhead costs).
- Direct materials costs: $20,000
- Direct labor costs: $20,000
- Variable overhead costs: $10,000
The firm's total units (completed and in process) is 1,813. The firm has 59 units in process and 80 unsold units in finished goods. The firm has $217 of unused raw materials left over at the end of the period.
What is the balance of the Cost of Goods Sold account AFTER the firm backflushes costs to inventory accounts (round final answer to nearest cent if necessary)?
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