Arturo Manufacturing Company provided the following information for the year 201

Question

Arturo Manufacturing Company provided the following information for the year 2012:Beginning balance-work in process inventory $12,000Ending balance-work in process inventory $28,000Beginning balance-direct materials inventory $42,000Ending balance-direct materials inventory $30,000Purchases-direct materials $180,000Direct labor $235,000Indirect materials $23,500Indirect labor $9,500Depreciation on factory plant & equipment $12,000Plant utilities & insurance $135,000What was the amount of direct materials used in production?

$192,000

$150,000

$210,000

$252,000

Explanation / Answer

Direct Material used= Opening Direct Material Inventory+Purchases-Ending Direct Material Inventory 42000+180000-30000     Ans $192,000

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