The following partially completed T-accounts summarize transactions for Faaberg Corporation during the year:

-The direct materials cost was:
A) $8,000
B) $5,700
C) $3,600
D) $4,700

Question

The following partially completed T-accounts summarize transactions for Faaberg Corporation during the year:
 
-The direct materials cost was:
A) $8,000 
B) $5,700 
C) $3,600 
D) $4,700

Quizplus · Accepted Answer

The key is to recognize that the 5,700 debit entry in the Work in Process account represents direct materials. The journal entry would have been:
 11ea7761_18f4_ca28_81a5_3de72f787931_TB2580_00 The direct materials is the $5,700 debit to Work in Process.

The Following Partially Completed T-Accounts Summarize Transactions for Faaberg Corporation