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Ivanhoe Industries is calculating its cost of goods manufactured at year end. Ivanhoe’s accounting records show the following. The raw materials inventory account had a begininning balance of $12,000 and an ending balance of $19,000. During the year, the company purchased $61,000 of direct materials. Direct labor for the year totaled $125,000, while manufacturing overhead amounted to $149,000. The work in process inventory account had a beginning balance of $21,000 and an ending balance of $15,000. Assume the Raw Materials inventory contains only direct materials. Compute the cost of Goods Manufactured for the year. Start by calculating direct materials used during the year
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