In addition to cost of goods manufactured, which of the following is needed to compute the cost of goods sold for a manufacturer?

171) In addition to cost of goods manufactured, which of the following is needed to compute the cost of goods sold for a manufacturer?
A) Beginning work in process inventory less ending work in process inventory
B) Ending work in process inventory less beginning work in process inventory
C) Ending finished goods less beginning finished goods
D) Beginning finished goods less ending finished goods
Answer:  D
Diff: 23
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

172) For a manufacturer, beginning work in process would be equal to
A) manufacturing costs incurred in the period - ending work in process inventory.
B) cost of goods manufactured - ending work in process inventory + manufacturing costs incurred in the period.
C) ending work in process inventory + manufacturing costs incurred in the period.
D) cost of goods manufactured + ending work in process inventory - manufacturing costs incurred in the period.
Answer:  D
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

173) 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    90,000

What are the total manufacturing costs?
A) $455,000
B) $595,000
C) $750,000
D) $520,000
Answer:  B
Explanation:  B) Calculations: $455,000 + 140,000 = $595,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

174) 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    90,000

What is the cost of goods sold?
A) $365,000
B) $455,000
C) $750,000
D) $505,000
Answer:  A
Explanation:  A) Calculations: $455,000 - 90,000 = $365,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits
175) Youngstown Rubber reports the following data for its first year of operation.

Direct materials used    $710,000
Cost of goods manufactured    455,000
Finished goods inventory, ending    190,000
Finished goods inventory, beginning    0
Manufacturing overhead     100,000
Work in process inventory, beginning    0
Work in process inventory, ending    130,000

What are the total manufacturing costs?
A) $945,000
B) $585,000
C) $1,265,000
D) $455,000
Answer:  B
Explanation:  B) Calculations: $455,000 + 130,000 = $585,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

176) Youngstown Rubber reports the following data for its first year of operation.

Direct materials used    $710,000
Cost of goods manufactured    455,000
Finished goods inventory, ending    190,000
Manufacturing overhead    100,000
Finished goods inventory, beginning     0
Work in process inventory, beginning    0
Work in process inventory, ending    130,000

What is the cost of goods sold?
A) $395,000
B) $455,000
C) $265,000
D) $1,265,000
Answer:  C
Explanation:  C) Calculations: $455,000 - 190,000 = $265,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits
177) Fit Apparel Company reports the following data for its first year of operation.

Cost of goods manufactured    $650,000
Work in process inventory, beginning    0
Work in process inventory, ending    90,000
Direct materials used     85,000
Manufacturing overhead     100,000
Finished goods inventory, beginning    0
Finished goods inventory, ending    70,000

What are the total manufacturing costs?
A) $650,000
B) $835,000
C) $740,000
D) $675,000
Answer:  C
Explanation:  C) Calculations: $ 650,000 + 90,000 = $740,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

178) Fit Apparel Company reports the following data for its first year of operation.

Cost of goods manufactured    $650,000
Work in process inventory, beginning    0
Work in process inventory, ending    90,000
Direct materials used     85,000
Manufacturing overhead     100,000
Finished goods inventory, beginning    0
Finished goods inventory, ending    70,000

What is the cost of goods sold?
A) $650,000
B) $835,000
C) $580,000
D) $670,000
Answer:  C
Explanation:  C) Calculations: $650,000 - 70,000 = $580,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits
179) Tall Timbers reports the following data for its first year of operation.

Work in process inventory, beginning    $           0
Work in process inventory, ending    50,000
Manufacturing overhead    25,000
Direct materials used     7,000
Finished goods inventory, beginning     0
Finished goods inventory, ending    20,000
Cost of goods manufactured    85,000

What are the total manufacturing costs?
A) $47,000
B) $135,000
C) $85,000
D) $117,000
Answer:  B
Explanation:  B) Calculations: $85,000 + 50,000 = $135,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

180) Tall Timbers reports the following data for its first year of operation.

Work in process inventory, beginning    $           0
Work in process inventory, ending    50,000
Manufacturing overhead    25,000
Direct materials used     7,000
Finished goods inventory, beginning     0
Finished goods inventory, ending    20,000
Cost of goods manufactured    85,000

What is the cost of goods sold?
A) $65,000
B) $85,000
C) $117,000
D) $115,000
Answer:  A
Explanation:  A) Calculations: $85,000 - 20,000 = $65,000
Diff: 3
LO:  2-5
EOC:  E2-25A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits
181) Direct labor for a company was $145,000; manufacturing overhead was $300,000; and direct materials were $270,000. Conversion costs would total
A) $570,000.
B) $715,000.
C) $415,000.
D) $445,000.
Answer:  D
Explanation:  D) Calculations: $ 300,000 + 145,000 = $445,000
Diff: 2
LO:  2-5
EOC:  E2-21A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

182) Direct materials for a company were $500,000; manufacturing overhead was $250,000; and direct labor was $770,000. Conversion costs would total
A) $1,020,000.
B) $1,270,000.
C) $1,520,000.
D) $750,000.
Answer:  A
Explanation:  A) Calculations: $ 770,000 + 250,000 = $1,020,000
Diff: 2
LO:  2-5
EOC:  E2-21A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

183) Direct labor for a company was $145,000; manufacturing overhead was $300,000; and direct materials were $270,000. Prime costs would total
A) $715,000.
B) $445,000.
C) $415,000.
D) $570,000.
Answer:  C
Explanation:  C) Calculations: $ 145,000 + 270,000 = $415,000
Diff: 2
LO:  2-5
EOC:  E2-21A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits

184) Direct materials for a company were $500,000; manufacturing overhead was $250,000; and direct labor was $770,000. Prime costs would total
A) $1,020,000.
B) $1,270,000.
C) $1,520,000.
D) $750,000.
Answer:  B
Explanation:  B) Calculations: $ 500,000 + 770,000 = $1,270,000
Diff: 2
LO:  2-5
EOC:  E2-21A
AACSB:  Analytical Thinking
Learning Outcome:  Define and use cost-volume-profit analysis to analyze the effects of changes
in costs and volume on a company's profits