The Duerr Company Manufactures a Single Product The Company's Cost of Raw Materials Used, Cost of Goods

question 41

Multiple Choice

The Duerr Company manufactures a single product. All raw materials used are traceable to specific units of product. Current information for the Duerr Company follows: $\begin{array} { | l | l | } \hline \text { Beginning raw materials inventory } & \$ 8,000 \\\hline \text { Ending raw materials inventory } & 11,000 \\\hline \text { Raw material purchases } & 85,000 \\\hline \text { Beginning work in process inventory } & 20,000 \\\hline \text { Ending work in process inventory } & 30,000 \\\hline \text { Direct labor } & 110,000 \\\hline \text { Total factory overhead } & 85,000 \\\hline \text { Beginning finished goods inventory } & 60,000 \\\hline \text { Ending finished goods inventory } & 40,000 \\\hline\end{array}$ The company's cost of raw materials used, cost of goods manufactured and cost of goods sold is:

• A) Cost of Materials Used = $85,000 Cost of Goods Manufactured = $267,000
• Cost of Goods Sold = $247,000
• B) Cost of Materials Used = $88,000 Cost of Goods Manufactured = $267,000
• Cost of Goods Sold = $287,000
• C) Cost of Materials Used = $82,000 Cost of Goods Manufactured = $287,000
• Cost of Goods Sold = $247,000
• D) Cost of Materials Used = $82,000 Cost of Goods Manufactured = $267,000
• Cost of Goods Sold = $287,000
• E) Cost of Materials Used = $88,000 Cost of Goods Manufactured = $287,000
• Cost of Goods Sold = $267,000

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Definitions:

Subscriber

An investor who agrees to purchase stock in a new corporation.

Shareholders

Individuals or entities that own shares in a corporation, giving them partial ownership and typically the right to vote on corporate matters.

Debt

Debt is an amount of money borrowed by one party from another, typically with the arrangement that it will be paid back, often with interest.

De Jure Corporation

A corporation that has fully complied with all legal requirements for incorporation and therefore enjoys all the powers and rights granted to corporations under the law.