A manufacturing company reports the following items:
Work in process inventory, beginning balance: $1000
Work in process inventory, ending balance: $3000
Direct materials: $5,000
Direct labor: $7,000
Factory overhead: $4,000
The cost of goods manufactured is $

The answer is $14,000

Explanation:

Cost of goods manufactured equals

Beginning/opening work in process inventory balance + direct materials + direct labor + factory overhead - ending/closing work in process inventory balance

=$1,000 + $5,000 + $7,000 + $4,000 - $3,000

= $14,000

Therefore, the cost of goods manufactured is $14,000

there was no passage listed but using the process of elimination i'd say it was d. the high economy would do the opposite. i don't see how low prices would affect it. high unemployment is possible but i feel d is the better answer.