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Current information for the Healey Company follows:
Beginning raw materials inventory $ 16,600
Raw material purchases 61,400
Ending raw materials inventory 18,000
Beginning work in process inventory 23,800
Ending work in process inventory 29,400
Direct labor 44,200
Total factory overhead 31,400
All raw materials used were traceable to specific units of product. Healey Company's direct materials used for the year is:__________
a.) $116,200.
b.) $124,600
c.) $121,800.
d.) $127,400.
e.) $131,200.

Sagot :

Answer:

$60,000

Explanation:

The computation of the direct material used is shown below:

= Beginning raw material inventory + purchase of raw material - ending raw material inventory

= $16,600 + $61,400 - $18,000

= $60,000

This is the right answer but the same is not provided in the given options

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