For Work Done During August,Printing Press Company Incurred Direct Materials

question 61

Multiple Choice

For work done during August,Printing Press Company incurred direct materials costs of $139,000 and conversion costs of $260,000.The company employs a just-in-time operating philosophy and backflush costing.At the end of August,it was determined that the Work in Process Inventory account had been assigned $1,080 of costs,and the ending balance of the Finished Goods Inventory account was $1,220.There were no beginning inventory balances.What was the ending balance of the Cost of Goods Sold account for August?

• A) $396,700
• B) $397,780
• C) $397,920
• D) $399,000