The following information is available for the year ended December 31: $$\begin{array} { l | c }
\text { Beginning raw materials inventory } & \$ 21,500 \
\hline \text { Raw materials purchases } & 74,000 \
\hline \text { Ending raw materials inventory } & 23,000 \
\hline \text { Offes supplies expense } & 2,400
\end{array}$$ The amount of raw materials used in production for the year is:
A) $95,500.
B) $76,400.
C) $70,100.
D) $74,900.
E) $72,500.

Question

The following information is available for the year ended December 31: $$\begin{array} { l | c } 
\text { Beginning raw materials inventory } & \$ 21,500 \
\hline \text { Raw materials purchases } & 74,000 \
\hline \text { Ending raw materials inventory } & 23,000 \
\hline \text { Offes supplies expense } & 2,400
\end{array}$$ The amount of raw materials used in production for the year is:
A) $95,500.
B) $76,400.
C) $70,100.
D) $74,900.
E) $72,500.

Quizplus · Accepted Answer

The raw materials used in production is calculated as: Beginning Inventory + Purchases - Ending Inventory = $21,500 + $74,000 - $23,000 = $72,500.

The Following Information Is Available for the Year Ended December