The addition of prime cost, indirect cost and opening work-in-progress less the closing work-in-progress will result in cost of
-
A.
goods available for sale -
B.
goods sold -
C.
goods manufactured -
D.
materials put into production
Correct Answer: Option C
Explanation
The cost of goods manufactured equation is calculated by adding the total manufacturing costs; including all direct materials, direct labor, and factory overhead; to the beginning work in process inventory and subtracting the ending goods in process inventory.