Question

Venus International makes customized furniture and uses job order costing. During a period, its beginning raw materials inventory was $10,000. It purchased raw materials of $20,000 and ended the period with ending raw materials inventory of $3,000. What is the cost of raw materials transferred to Work in Process Inventory

Answer 1

the cost of raw materials transferred to Work in Process Inventory is $27,000

Step-by-step explanation:

The computation of the cost of raw materials transferred to Work in Process Inventory is shown below

= opening inventory + purchases made - ending inventory

= $10,000 + $20,000 - $3,000

= $27,000

Hence, the cost of raw materials transferred to Work in Process Inventory is $27,000

The same should be considered