Beginning Raw Materials Inventory $40,000 Materials purchased $65,000 Ending Raw Materials Inventory $30,000 What is the amount of Raw Materials Used?

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11-07-2019
Business

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Beginning Raw Materials Inventory $40,000 Materials purchased $65,000 Ending Raw Materials Inventory $30,000 What is the amount of Raw Materials Used?

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Nyctalus Nyctalus · Answer 1 · 2019-07-22T06:10:10+02:00

Answer:

$75000

Explanation: Raw mateirals can be defined as the basic material from which product is manufactured. These are the materials used in the primary stage of production process.

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Raw material used is the amount of raw material consumed or used by the entity in the specific period, generally, one year.

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raw material used = begining raw material + raw material purchased - ending raw material

therefore,

raw material used = $40,000 + $65,000 - $30,000

= $75,000