If the required direct materials purchases are 18,000 pounds, the direct materials required for production is three times the direct materials purchases, and the beginning direct materials are three and a half times the direct materials purchases, what are the desired ending direct materials in pounds?
A) 45,000
B) 9,000
C) 27,000
D) 18,000

Question

Quizplus · Accepted Answer

Direct materials required for production = 18,000 x 3 = 54,000 pounds
Beginning direct materials = 18,000 x 3.5 = 63,000 pounds
To find the desired ending direct materials, we need to use the following formula:
Desired Ending Direct Materials = Beginning Direct Materials + Direct Materials Required for Production - Direct Materials Purchases
Plugging in the values we get, 
Desired Ending Direct Materials = 63,000 + 54,000 - 18,000 = 99,000 - 18,000 = 81,000 pounds
Therefore, the answer is (C) 27,000.

If the Required Direct Materials Purchases Are 18,000 Pounds, the Direct