Rayfield Company's management accountant collected the following inventory and transaction data for the month: $\begin{array}{lll}\text { Inventories }& \text { Ending }& \text { Beginning }\
\text { Direct materials } & \$ 220 & \$ 190 \
\text { Work in process } & 160 & 140 \
\text { Finished goods } & 190 & 220
\end{array}$ The cost of goods available for sale was $1,370. Total manufacturing costs assigned to work in process during the month was $1,170. Manufacturing overhead was $334; and direct materials used were $386.
Direct materials purchased during the month were:

Question

Quizplus · Accepted Answer

To find the direct materials purchased, we start with the direct materials used formula: Direct Materials Used = Beginning Direct Materials + Purchases - Ending Direct Materials. Given that Direct Materials Used is $386, Beginning Direct Materials is $190, and Ending Direct Materials is $220, we can rearrange the formula to solve for Purchases: Purchases = Direct Materials Used - Beginning Direct Materials + Ending Direct Materials = $386 - $190 + $220 = $416.

Rayfield Company's Management Accountant Collected the Following Inventory and Transaction