The following information is available for the year ended December 31: The amount of raw materials used in production for the year is:
A) $4,100.
B) $5,100.
C) $3,500.
D) $6,500.
E) $4,000.

Question

Quizplus · Accepted Answer

The amount of raw materials used in production can be calculated using the following formula:

Beginning Raw Materials Inventory
+ Purchases of Raw Materials
- Ending Raw Materials Inventory
= Raw Materials Used in Production

Since there is no information provided about the beginning and ending raw materials inventory, we can assume that they are the same. Therefore, the formula simplifies to:

Purchases of Raw Materials = Raw Materials Used in Production

From the information given in the question, the purchases of raw materials for the year is $3,500. This means that the raw materials used in production for the year is also $3,500. Therefore, the correct answer is C) $3,500.

The Following Information Is Available for the Year Ended December