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Wayne Company's beginning and ending inventories for the month of June were as follows: June 1 June 30Work in progress $145,000 171,000Finished Goods 85,000 78,000
Production data for the month follow:Direct labor cost incurred $200,000Direct labor hours 25,000Actual manufacturing overhead cost incurred 132,000Direct Materials 170,000
Wayne applies manufacturing overhead cost to jobs based on direct labor-hours, and the predetermined rate is $5.75 per direct labor-hour. The company does not close under applied or over applied manufacturing overhead to Cost of Goods Sold until the end of the year. What is the amount of cost of goods manufactured?
Variable costs are the cost that are directly proportionate with the quantity of manufacture and or directly associated with the service.
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