Tranham, Inc How Much Will Tranham Report as Cost of Goods Sold

question 12

Multiple Choice

Tranham, Inc.uses a job-order costing system.It reported the following amounts for March $\begin{array}{lrlr}\text { Work in process, March 1 } & \$ 38,000 & \text { Finished goods, March 1 } & \$ 14,000 \\\text { Work in process, March 31 } & 35,000 & \text { Finished goods, March 31 } & 17,500 \\\text { Cost of goods manufactured } & 169,000 & \text { Raw materials, March 1 } & 12,300 \\\text { Direct labor used } & 64,000 & \text { Raw materials, March 31 } & 12,000 \\\text { Selling costs incurred } & 32,000 & \text { Direct materials used } & 63,000\end{array}$ How much will Tranham report as cost of goods sold for the month of March?

• A)$169,000
• B)$172,000
• C)$183,000
• D)$165,500

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