Multiple choice

Closing stock of work in progress Rs. 30, 000, cost of manufactured goods Rs. 1, 00, 000, opening stock of finished goods Rs. 20, 000, closing stock of finished goods Rs. 25, 000. The manufacturing cost of finished goods sold is

  1. Rs. 95, 000

  2. Rs. 1, 05, 000

  3. Rs. 65, 000

  4. none of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Manufacturing cost of goods sold = Cost of manufactured goods + Opening stock of finished goods - Closing stock of finished goods = Rs. 1,00,000 + Rs. 20,000 - Rs. 25,000 = Rs. 95,000. The closing stock of work in progress is already factored into the cost of manufactured goods figure.

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