For the year just ended, Cole Corporation's manufacturing costs (raw materials used, direct labor, and manufacturing overhead) totaled $1,500,000. Beginning and ending work-in-process inventories were $60,000 and $90,000, respectively. Cole's balance sheet also revealed respective beginning and ending finished-goods inventories of $250,000 and $180,000. On the basis of this information, how much would the company report as cost of goods manufactured (CGM) and cost of goods sold (CGS)

The company report the cost of goods manufactured (CGM) and cost of goods sold (CGS) of $1,470,000 and $1,540,000 respectively.

Explanation:

The formula to compute cost of goods manufactured (CGM) is shown below

= Total manufacturing cost + beginning work in process inventories - ending work in process inventories

= $1,500,000 + $60,000 - $90,000

= $1,470,000

Hence, the cost of goods manufactured is $1,470,000

And, The formula to compute cost of goods sold (CGS) is shown below

= Cost of goods manufactured + beginning finished goods inventories - ending finished goods inventories

= $1,470,000 + $250,000 - $180,000

= $1,540,000

Hence, the cost of goods sold is $1,540,000

Thus, the company report the cost of goods manufactured (CGM) and cost of goods sold (CGS) of $1,470,000 and $1,540,000 respectively.