The Beginning and Ending Finished Goods Inventories of the Prize

question 80

Multiple Choice

The beginning and ending finished goods inventories of the Prize Ring manufacturing company were $75,000 and $73,000 respectively.If cost of goods sold equaled $66,000,what is the amount of cost of goods manufactured for this period?

• A) $2,000
• B) $64,000
• C) $68,000
• D) $82,000
• E) $214,000

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Definitions:

Total Product

The total output of goods or services produced by a firm or economy, typically measured over a specific period.

Profit-Maximizing

The process or strategy of adjusting production and pricing to achieve the highest possible profit based on costs and market demand.

Derived Demand

is the demand for a product or service that arises from the demand for another product or service, such as the demand for steel being driven by the demand for cars.

Capital Demand

The desire or need for capital goods, such as machinery and tools, that are used to produce other goods and services.