Question

The accounts of Delphinia Dreams, Inc. showed the following balances at the beginning of October: Account Debit Raw Materials Inventory $31,000 Work-in-Process Inventory 44,000 Finished Goods Inventory 54,000 Manufacturing Overhead 20,000 During the month, direct materials amounting to $21,000 and indirect materials amounting to $6000 were issued to production. What is the ending balance in the Work-in-Process Inventory account following these two transactions? A) $10,000 B) $26,000 C) $65,000 D) $44,000

Answer 1

Answer:

C. $65,000

Explanation:

With regards to the above information, ending work in process is computed as;

Ending work in process = Beginning work in process + materials transferred

Ending work in process = $44,000 + $21,000

Ending work in process = $65,000