Asked by Cristian Perez Lara on May 14, 2024

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The balance of the finished goods inventory at the end of the year was:

A) $50,000.
B) $45,000.
C) $95,000.
D) $193,000.

Finished Goods Inventory

The stock of completed products that are ready to be sold but have not yet been purchased by consumers.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product.

Work In Process

Inventory items that are in the process of being manufactured but are not yet completed.

  • Ascertain the opening and closing inventories at various points of the manufacturing process.
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AC
ashley carterMay 21, 2024
Final Answer :
A
Explanation :
The balance of the finished goods inventory at the end of the year can be calculated by taking the cost of goods available for sale ($288,000) and subtracting the cost of goods sold ($238,000), which equals $50,000.