When recording the raw materials used in production in transaction (b) above, the Raw Materials inventory account will increase (decrease) by:

A) ($1,110,928)
B) $1,159,760
C) $1,110,928
D) ($1,159,760)

Question

When recording the raw materials used in production in transaction (b) above, the Raw Materials inventory account will increase (decrease) by:A) ($1,110,928)B) $1,159,760C) $1,110,928D) ($1,159,760)

Teumere Tairi · Accepted Answer

Final Answer : D, Explanation :  Raw Materials decreases by the standard cost of the raw materials used in production, which is AQ × SP = 122,080 pounds × $9.50 per pound = $1,159,760.

When recording the raw materials used in production in transaction (b) above, the Raw Materials inventory account will increase (decrease) by:

A) ($1,110,928)
B) $1,159,760
C) $1,110,928
D) ($1,159,760)

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Learning Objectives

Learning Objectives

Related questions

When recording the raw materials used in production in transaction (b) above, the Raw Materials inventory account will increase (decrease) by:A) ($1,110,928) B) $1,159,760C) $1,110,928D) ($1,159,760)

Definitions

Learning Objectives

Learning Objectives

Related questions

When recording the raw materials used in production in transaction (b) above, the Raw Materials inventory account will increase (decrease) by:

A) ($1,110,928)
B) $1,159,760
C) $1,110,928
D) ($1,159,760)