Need answer with workings<\/p>
<\/p>
Unlike retailers and wholesalers who simply purchase completed inventory, a manufacturer buys Raw Materials (DM or Direct Materials) and then incurs additional cost to convert this DM,using Direct Labour (DL) and other indirect costs (usually called Overheads - OHDS). Once complete, the Cost of Goods Manufactured (COGM) can be calculated and stored as Finished Goods (FG). The Finished Goods (FG) are sold and the costs of production can then be expensed as Cost of Goods Sold (COGS). Cost accountants record these costs in three inventory accounts, Raw Materials, Work in Process (WIP) and Finished Goods.<\/p>
Using the following cost information, answer the following question:<\/p>
A company has recorded the following for a single month of production:<\/p>
Raw Materials - Opening Balance: $14072 , Purchases $76037 and has a Closing Balance of $17977<\/p>
WIP Information: Conversion costs incurred this period include: Opening balance of WIP was $54540, DL $39742 and OHDs $40023 and the closing balance of WIP was $26620<\/p>
Finished Goods information: Opening Balance of FG was $55460 and the closing balance was $60914<\/p>
Required: Trace all costs through to calculate the Cost of Goods Manufactured this month<\/strong><\/p>", "transcribed_text": "", "related_book": { "title": "Managerial Accounting Tools for Business Decision Making ", "isbn": "1118856996, 978-1118856994", "edition": "4th Canadian edition", "authors": "Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/1190.jpg", "uri": "\/textbooks\/managerial-accounting-tools-for-business-decision-making-4th-canadian-edition-1190", "see_more_uri": "" }, "free_related_book": { "isbn": "979-8866344536", "uri": "\/textbooks\/3-in-1-african-american-slave-narratives-memoirs-of-the-life-of-frederick-douglass-incidents-in-the-life-of-a-slave-girl-and-twelve-years-a-slave-1st-edition-979-8866344536-286096", "name": "3 In 1 African American Slave Narratives Memoirs Of The Life Of Frederick Douglass Incidents In The Life Of A Slave Girl And Twelve Years A Slave", "edition": "1st Edition" }, "question_posted": "2024-06-28 07:21:45", "see_more_questions_link": "\/study-help\/questions\/business-marketing-2022-June-08", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/read-the-following-as-well-as-any-other-published-articles", "description": "Read the following as well as any other published articles on the bankruptcy of the partnership of Laventhol & Horwath: Laventhol Says It Plans to File for Chapter 11, The Wall Street Journal,...", "stars": 3 }, { "url": "\/study-help\/introduction-to-probability-statistics\/25-dvrs-the-digital-video-recorder-dvr-player-is-a-1980946", "description": "2.5 DVRs The digital video recorder (DVR) player is a common fixture in most Canadian households. 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