Homework SourseConcord Corporations accounting records reflect the followin
Concord Corporation\'s accounting records reflect the following inventories:
During 2017, Concord purchased $1490000 of raw materials, incurred direct labor costs of $250000, and incurred manufacturing overhead totaling $160000.
Assume Concord’s cost of goods manufactured for 2017 amounted to $1904000. How much would it report as cost of goods sold for the year?
| Dec. 31, 2016 | Dec. 31, 2017 | |
| Raw materials inventory | $ 80000 | $ 64000 |
| Work in process inventory | 104000 | 116000 |
| Finished goods inventory | 100000 | 92000 |
Solution
C. $1,912,000
Cost of goods sold = $100,000 + $1,904,000 - $92,000
Cost of goods sold = $1,912,000
