Asked by
Lyric Burrell
on Nov 13, 2024
Verified
In a job order cost accounting system the Raw Materials Inventory account is
A) an expense.
B) a control account.
C) not used.
D) a period cost.
Raw Materials Inventory
The total cost of all the materials that are used in making a product but have not yet been converted into the finished product.
Control Account
An account used in accounting to summarize and manage detailed information while keeping the general ledger free of clutter.
Expense Account
An account used to track expenses incurred, which are then offset against revenue to determine net profit.
- Acquire knowledge on the accounting methods involved in purchasing raw materials and their transition through inventory ledgers.
Verified Answer
JS
Learning Objectives
- Acquire knowledge on the accounting methods involved in purchasing raw materials and their transition through inventory ledgers.