Compute ending work in process inventory for a manufacturer with the following information. Raw materials purchased ... $124,800 Direct materials used ... 74,300 Direct labor used ... 55,000 Total factory overhead ... 95,700 Work in process inventory, beginning of year ... 26,500 Cost of goods manufactured ... 221,800

Ending work in progress is $29,700

Explanation:

The total manufacturing cost is computed as:

Total manufacturing cost = Direct material used + Direct Labor + Factory overhead

= $74,300 + $55,000 + $95,700

= $ 225,000

The total cost of work in progress is computed as:

Total cost of work in progress = total manufacturing cost + Opening work in process inventory

= $225,000 + $26,500

= $251,500

The ending work in progress is computed as:

Ending work in progress = Total cost of work in progress - Cost of goods manufactured

= $251,500 - $221,800

= $29,700