QAEconomics › Cost of goods manufactured is calculated as follows:
Q

Cost of goods manufactured is calculated as follows:

A

The cost of goods manufactured is an estimate used to determine the ratio of production costs to the available budget. It is calculated by adding the overhead cost of manufacturing, cost of labor, and cost of materials used. You then include the start of work-in-progress and subtract the end of work-in-progress. The total is the cost of goods manufactured.

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