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: 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.
