Beech Soda, Inc. uses a perpetual inventory system. The company's beginning inventory of a particular product and its purchases during the month of January were as follows: Quantity Unit Cost Total Cost
Beginning inventory (Jan. 1) 20 $ 15 $ 300
Purchase (Jan. 11) 16 $ 21 336
Purchase (Jan. 20) 27 $ 23 621
Total 63 $ 1,257
On January 14, Beech Soda, Inc. sold 29 units of this product. The other 34 units remained in inventory at January 31.
Assuming that Beech Soda uses the FIFO cost flow assumption, the cost of goods sold to be recorded at January 14 is:
a. $482.
b. $422.
c. $690.
d. $1,194.

The following cost and inventory data are taken from the accounting records of mason company for the year just completed: costs incurred: direct labor cost $ 90,000 purchases of raw materials $ 134,000 manufacturing overhead $ 205,000 advertising expense $ 45,000 sales salaries $ 101,000 depreciation, office equipment $ 225,000 beginning of the year end of the year inventories: raw materials $ 8,100 $ 10,300 work in process $ 5,900 $ 21,000 finished goods $ 77,000 $ 25,800 required: 1. prepare a schedule of cost of goods manufactured. 2. prepare the cost of goods sold section of mason company’s income statement for the year.