Ciresi Corporation manufactures one product. It does not maintain any beginning or ending Work in Process inventories. The company uses a standard cost system in which inventories are recorded at their standard costs and any variances are closed directly to Cost of Goods Sold. The company has provided the following information:Actual sales 19,900unitsStandard cost$36.70per unitThe company does not have any variable manufacturing overhead costs and it recorded the following variances during the year:Materials price variance$32,820FMaterials quantity variance$500FLabor rate variance$25,872FLabor efficiency variance$33,000FFixed manufacturing overhead budget variance$16,500FFixed manufacturing overhead volume variance$38,880FThe adjusted Cost of Goods Sold after closing all of the variances
to Cost of Goods Sold will be closest to:
A. $877,902
B. $1,066,952
C. $582,758
D. $730,330
Answer: C
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