Question

Andrew Industries purchased $166,000 of raw materials on account during the month of March. The beginning Raw Materials Inventory balance was $22,200, and the materials used to complete jobs during the month were $141,900 of direct materials and $13,100 of indirect materials. What is the ending Raw Materials Inventory balance for March

Answer 1

Answer:

$33,200= ending inventory

Explanation:

Giving the following information:

Andrew Industries purchased $166,000 of raw materials.

The beginning Raw Materials Inventory balance was $22,200, and the materials used to complete jobs during the month were $141,900 of direct materials and $13,100 of indirect materials.

To calculate the ending inventory, we need to use the following formula:

Raw materials used= beginning inventory + purchases - ending inventory

141,900 + 13,100= 22,200 + 166,000 - ending inventory

155,100= 188,000 - ending inventory

33,200= ending inventory