Model magic manufacturing reported the following year-end balances: beginning work in process inventory, $35,000; beginning raw materials inventory, $18,000; ending work in process inventory, $38,000; ending raw materials inventory, $15,000; raw materials purchased, $510,000; direct labor, $180,000; and manufacturing overhead, $75,000. what is the amount of total work in process for model magic for the current year?

Cost of good manufactured= $765000

Explanation:

To calculate the cost of manufactured goods we need to use the following formula:

Cost of good manufactured= Beginning work in progress+ direct materials of the period + direct labor + manufactured overhead - ending work in progress

Beginning work in progress= $35000

Direct materials = beginning inventory + purchase - ending inventory= 18000 + 510000 - 15000= 513000

Direct labor= 180000

Manufactured overhead=75000

Ending work in progress= 38000

Cost of good manufactured= 35000 + 513000 + 180000 + 75000 -38000= $765000

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