70.1k views
3 votes
On November 1, Arvelo Corporation had $38,500 of raw materials on hand. During the month, the company purchased an additional $71,500 of raw materials. During November, $82,000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $4,300. Prepare journal entries to record these events. Use those journal entries to answer the following questions:

The credits to the Raw Materials account for the month of November total:_________

User Krinker
by
8.0k points

1 Answer

2 votes

Answer:

$73,400

Step-by-step explanation:

The computation of Raw Materials account for the month of November total is shown below:-

Raw Materials account for the month of November = Work in progress inventory - Manufacturing overheads

= ($82,000 - $4,300) - $4,300

= $77,700 - $4,300

= $73,400

Therefore for computing the raw materials we simply applied the above formula.

User Zannix
by
8.5k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.