Use the cost information below for Sundar Company to determine the cost of goods manufactured during the current year: Direct materials used $19,100
Direct labor used 24,600
Factory overhead 54,600
Beginning work in process inventory 10,800
Ending work in process inventory 11,400

$97,700

Explanation:

Firms which are involved in the manufacturing of products must determine the cost of goods manufactured. Thus, this is where this calculation is applicable.

To determine the Cost of Goods Manufactured, a Manufacturing schedule must be prepared. This Schedule includes all the costs of manufacturing a product (direct and indirect) as well as details about work in process inventory as below :

Manufacturing schedule

Direct materials cost                                                                 $19,100

Direct labor cost                                                                      $24,600

Factory overhead                                                                     $54,600

Add Beginning work in process inventory                              $10,800

Less Ending work in process inventory                                  ($11,400)

Cost of goods manufactured                                                   $97,700

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