Costas Company has beginning and ending raw materials inventories of $64,000 and
ID: 2606400 • Letter: C
Question
Costas Company has beginning and ending raw materials inventories of $64,000 and $80,000, respectively. If direct materials used were $310,000, what was the cost of raw materials purchased?
a. $310,000.
b. $330,000.
c. $294,000.
d. $326,000.
Molina Company has beginning and ending work in process inventories of $130,000 and $145,000 respectively. If total manufacturing costs are $680,000, what is the total cost of goods manufactured?
a. $810,000.
b. $825,000.
c. $665,000.
d. $695,000.
Explanation / Answer
a.
b.
Beginning RM inventory 64000 Add:purchases(balance)(310,000+80,000-64000) $326000. Less:ending RM inventory 80,000 Direct materials used 310,000