When do materials in the raw materials account become direct materials?
A)when they are withdrawn from inventory for use in production
B)when they are returned to the supplier
C)when they are spoiled
D)when they are put into production

Question

Quizplus · Accepted Answer

Materials in the raw materials account become direct materials when they are put into production, as this is when they are actively used to manufacture a product.

When Do Materials in the Raw Materials Account Become Direct