Niles Corporation is a manufacturer that uses job-order costing. The company has supplied the following data for the just completed year:
Results of operations:

-How much is the ending balance in the Raw Materials inventory account?
A) $97,000
B) $585,000
C) $47,000
D) $50,000

Question

Niles Corporation is a manufacturer that uses job-order costing. The company has supplied the following data for the just completed year:
  Results of operations:
 
-How much is the ending balance in the Raw Materials inventory account?
A) $97,000 
B) $585,000 
C) $47,000 
D) $50,000

Quizplus · Accepted Answer

The ending balance in Raw Materials is computed as follows:
 11ea7761_18ee_fd9d_81a5_bd02e8bfdccb_TB2580_00 *47,000 + 538,000 − 535,000 = 50,000

Niles Corporation Is a Manufacturer That Uses Job-Order Costing