The following partially completed T-accounts summarize transactions for Farwest Corporation during the year: The Cost of Goods Manufactured was:
A)$22,900
B)$26,300
C)$6,400
D)$49,200

Question

The following partially completed T-accounts summarize transactions for Farwest Corporation during the year:       The Cost of Goods Manufactured was:
A)$22,900 
B)$26,300 
C)$6,400 
D)$49,200

Quizplus · Accepted Answer

The Cost of Goods Manufactured formula is:
Beginning Work in Process + Manufacturing Costs - Ending Work in Process = Cost of Goods Manufactured
Plugging in the numbers from the T-accounts, we get:
$9,200 + $30,300 - $13,200 = $26,300. Therefore, the correct answer is B.

The Following Partially Completed T-Accounts Summarize Transactions for Farwest Corporation