As direct materials are used on a job,their cost is debited to the Finished Goods Inventory account.

Name: As direct materials are used on a job,their cost is debited to the Finished Goods Inventory account.
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Question

Quizplus · Accepted Answer

Direct materials cost is initially debited to the Raw Materials Inventory account. Once the job is completed and the finished goods are transferred to Finished Goods Inventory, the cost of direct materials is included in the total cost of the finished goods.

As Direct Materials Are Used on a Job,their Cost Is