US CMA Part 1 · Chapter 2 · Question 24 of 30
A manufacturer budgets beginning finished goods inventory of $46,000, cost of goods manufactured of $820,000 and ending finished goods inventory of $52,000. What is budgeted cost of goods sold?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) $814,000
Explanation
Budgeted COGS = beginning finished goods + cost of goods manufactured - ending finished goods = $46,000 + $820,000 - $52,000 = $814,000.
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