Cost of goods sold in a manufacturing company is computed as follows; A. Opening finished goods stock + Cost of goods manufactured – Closing finished goods stock B. Opening WIP + Cost of goods manufactured – Closing finished goods stock C. Opening Raw material goods + Cost of goods purchased – Closing finished goods stock D. Opening finished goods stock + Cost of goods manufactured – Closing finished goods stock

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 5MC: Which of the following represents the components of the income statement for a manufacturing...
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Cost of goods sold in a manufacturing company is computed as follows;
A. Opening finished goods stock + Cost of goods manufactured – Closing finished goods stock
B. Opening WIP + Cost of goods manufactured – Closing finished goods stock
C. Opening Raw material goods + Cost of goods purchased – Closing finished goods stock
D. Opening finished goods stock + Cost of goods manufactured – Closing finished goods stock

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