Davis Company Refer to Davis Company

Multiple Choice

Davis Company. Davis Company manufactures wood file cabinets. The following information is available for June 2008:
$\begin{array}{ll}&\underline{\text { Beginning }} &\underline{ \text { Ending }} \\\text {Raw Material Inventory}&\$6,000& \$ 7,500 \\\text {Wotk in Process Inventory}&17,300 & 11,700 \\\text { Finished Goods Inventory }&21,000 & 16,300\end{array}$
Refer to Davis Company. Direct labor is paid $9.60 per hour and overhead for the month was $9,600. If there were 1,500 direct labor hours and $21,000 of raw material purchased, Cost of Goods Manufactured is:

A) $49,100.
B) $45,000.
C) $51,000.
D) $49,500.