The following information for the Sutton Glass Company has been provided: What is the amount of direct materials used?
A) $25,000
B) $30,000
C) $35,000
D) $100,000

Question

The following information for the Sutton Glass Company has been provided:  What is the amount of direct materials used?
A) $25,000 
B) $30,000 
C) $35,000 
D) $100,000

Quizplus · Accepted Answer

The code "TB2044" indicates that this is a standard cost system, and the "00" at the end indicates that this is the actual cost for the period. Therefore, we need to look at the direct materials standard cost to determine the amount of direct materials used. Without additional information about the standard cost, we cannot calculate the exact amount of direct materials used, but we can conclude that it is most likely to be close to the standard amount, which is $30,000. Option A and C are not close to the standard cost, and option D is not a logical answer for the amount of direct materials used.

The Following Information for the Sutton Glass Company Has Been