Travis Company Had No Beginning Work in Process or Finished

question 139

Multiple Choice

Travis Company had no beginning work in process or finished goods.Its total manufacturing costs for the year were $427,000.If cost of goods manufactured was $332,000 and cost of goods sold was $250,000,the amount of ending work in process would have been:

• A) $82,000.
• B) $105,000.
• C) $95,000.
• D) $127,000.

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Definitions:

Commercial Paper

An unsecured, short-term debt instrument issued by corporations, typically used for the financing of payroll, accounts payable, and inventories.

SEC Registration

The process of filing documents required by the Securities and Exchange Commission for new securities to be sold to the public.

Treasuries

Government debt securities issued by the United States Department of the Treasury to finance government spending as an alternative to taxation.

Factoring Receivables

Selling receivables to a financing source for an amount less than their face value.