Inventory Balances for the James Enterprises in February Are as Follows

question 216

Multiple Choice

Inventory balances for the James Enterprises in February are as follows:
$\begin{array}{lrr}&\text { February } 1&\text { February } 28\\\text { Raw materials } & \$ 27,000 & \$ 21,000 \\\text { Work in process } & 48,000 & 37,200 \\\text { Finished goods } & 108,000 & 90,000\end{array}$ During February,purchases of direct materials were $36,000.Direct labour and factory overhead costs were $60,000 and $84,000,respectively.
-Refer to the figure.What is the cost of goods manufactured?

• A)$180,000
• B)$186,000
• C)$194,000
• D)$196,800

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Definitions:

Homeostasis

The process through which living organisms naturally regulate themselves to keep stable while adapting to the best conditions for their survival.

Senescence

The biological process of aging, characterized by a gradual decline in the functional capacity of an organism's cells, tissues, and organs.

Diathesis

An inclination or susceptibility toward the development of mental health conditions, shaped by genetic, biological, or external influences.

Homeostatic Adjustment

The process by which living organisms regulate their internal environment to maintain stable, life-sustaining conditions.