Which beginning and ending inventories appear on a cost of goods manufactured schedule?
A)Raw materials only
B)Raw materials and work in process only
C)Raw materials, work in process, and finished goods
D)Work in process only

Question

Quizplus · Accepted Answer

A cost of goods manufactured schedule includes the cost of direct materials used, direct labor incurred, and manufacturing overhead applied to work in process. Since work in process involves both beginning and ending inventory, option D is incorrect (as it only includes ending inventory). Finished goods inventory is not included in the cost of goods manufactured schedule, so option C is also incorrect. Thus, option B is the best choice as it includes both beginning raw materials inventory and beginning work in process inventory.

Which Beginning and Ending Inventories Appear on a Cost of Goods