as 147 Inventory reporting for manufacturers LO C4 Compute e

as 14-7 Inventory reporting for manufacturers LO C4 Compute ending work in process inventory for a manufacturer with the following information. points $124,800 74,300 55,000 95,700 26,500 221,800 Raw materials purchased Direct materials used Direct labor used Total factory overhead Work in process inventory, beginning of year Cost of goods manufactured Hint Total References

Solution

Ending work in progress inventory is Computed as :-

Direct Material Used              74300

Direct Labour                        55000

Factory Overhead                  95700

Total Manufactering Cost       225000

Add: Opening Wip                26500

...........................................................

Total cost of work in process    251500

Less: Cost of goods Manufactured   221800

Work in Progress inventory (End of year)     29700