The addition of prime cost, indirect cost and opening work-in-progress less the closing work-in-progress will result in cost of

A.

Goods available for sale

B.

Goods sold

C.

Goods manufactured

D.

Materials put into production

Correct answer is C

The cost of goods manufactured equation is calculated by adding the total manufacturing costs; including all direct materials, direct labor, and factory overhead; to the beginning work in process inventory and subtracting the ending goods in process inventory.