Selected information regarding a company's most recent quarter follows (all data in thousands). $$\begin{array} { | l | c c | }
\hline \text { Sales revenue } & \mathbf { \$ } & 4,000 \
\hline \text { Bepinging raw materials inventory } & \mathbf { \$ } & 150 \
\hline \text { Direct materials used } &\$& \mathbf { 3 5 0 } \
\hline \text { Purchases of direct materials } & \mathbf { \$ } & 500 \
\hline \text { Direct labor } & \mathbf { \$ } & 450 \
\hline \text { Marufacturing averhead } & \mathbf { \$ } & 620 \
\hline
\end{array}$$ What was the ending raw materials inventory?
A)$300
B)$ 970
C)$ 350
D)$ 850

Question

Selected information regarding a company's most recent quarter follows (all data in thousands). $$\begin{array} { | l | c c | } 
\hline \text { Sales revenue } & \mathbf { \$ } & 4,000 \
\hline \text { Bepinging raw materials inventory } & \mathbf { \$ } & 150 \
\hline \text { Direct materials used } &\$& \mathbf { 3 5 0 } \
\hline \text { Purchases of direct materials } & \mathbf { \$ } & 500 \
\hline \text { Direct labor } & \mathbf { \$ } & 450 \
\hline \text { Marufacturing averhead } & \mathbf { \$ } & 620 \
\hline
\end{array}$$ What was the ending raw materials inventory?
A)$300
B)$ 970
C)$ 350
D)$ 850

Quizplus · Accepted Answer

The ending raw materials inventory is calculated as: Beginning inventory + Purchases - Direct materials used = 150 + 500 - 350 = 300.

Selected Information Regarding a Company's Most Recent Quarter Follows (All