Question

The following information is available for the year ended December 31:Beginning raw materials inventory $12,800Raw materials purchases 89,600Ending raw materials inventory 12,200Manufacturing supplies expense 720The amount of raw materials used in production for the year is what?

Answer 1

Answer:

$90,200

Explanation:

The amount of raw materials used in production is computed by;

= Beginning raw materials inventory + Raw materials purchases - Ending raw materials inventory

Given that;

Beginning raw materials inventory = $12,800

Raw materials purchases = $89,600

Ending raw materials inventory = $12,200

Therefore; the amount of raw materials used in production for the year

= $12,800 + $89,600 - $12,200

= $90,200