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    Ending Balances

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    Given the following information, compute the ending balances of the Materials inventory, Work in process inventory, and finished goods inventory accounts.

    Materials Inventory, beginning balance $ 23,000
    Work in Process Inventory, beginning balance $ 25,750
    Finished Goods inventory, beginning balance $ 38,000
    Direct Materials Purchased $ 85,000
    Direct Materials placed into production $ 74,000
    Direct Labor costs $ 97,000
    Overhead costs $ 35,000
    Cost of goods manufactured $ 123,000
    Cost of goods sold $ 93,375

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    https://brainmass.com/business/business-management/compute-balances-materials-281396

    Solution Preview

    Ending material inventory = Beginning inventory + Purchases - Used in Production
    = 23,000+85,000-74,000 ...

    Solution Summary

    The solution explains how to calculate the ending balances of the Materials inventory, Work in process inventory, and finished goods inventory accounts.

    $2.19

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