The Goods in Process Inventory Account for XYZ Inc

question 35

Multiple Choice

The Goods in Process Inventory Account for XYZ Inc. follows:

If the overhead is applied at the rate of 80% of direct labor cost, what is the amount of Cost of Goods Manufactured?

• A) $19,800
• B) $56,825
• C) $61,775
• D) $51,365
• E) $37,025

---

Definitions:

Aggregate Output

The total value of goods and services produced in an economy over a specific period of time.

Consumers Benefit

The advantages or utility that consumers receive from purchasing and using goods and services, typically measured in terms of satisfaction or utility gained.

Exchange Rates

The value of one currency expressed in terms of another currency.

Euros

The official currency of 19 out of the 27 European Union countries, which together make up the Eurozone.