Compute ending balance in raw materials inventory account


Response to the following problem:

Fairfield Company's raw materials inventory transactions for the most recent month are summarized here:

Beginning raw materials                   $20,000

Purchases of raw                               90,000

Raw materials issued

Materials requisition 1445                  25,000 For Job 101

Materials requisition 1446                  35,000 For Job 102

Materials requisition 1447                   30,000 Used on multiple jobs

1. How much of the raw materials cost would be added to the Work in Process Inventory account during the period?

2. How much of the raw materials costs would be added to the Manufacturing Overhead account?

3. Compute the ending balance in the Raw Materials Inventory account.

 

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Cost Accounting: Compute ending balance in raw materials inventory account
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