Bourne Crafts manufactures specialty key chains for tourist attractions. On December 31, 2009, the firm had 200 souvenir attraction disks used in the production of the chains that cost $3 each; and 600 completed key chains that cost $6 each. During year 2010 Bourne Crafts purchased 1,500 souvenir disks costing $3 each and produced 1,100 key chains.
Required:
Determine the total cost of raw materials inventory at December 31, 2010.

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The Answer of Bourne Crafts manufactures specialty key chains for tourist attractions. On December 31, 2009, the firm had 200 souvenir attraction disks used in the production of the chains that cost $3 each; and 600 completed key chains that cost $6 each. During year 2010 Bourne Crafts purchased 1,500 souvenir disks costing $3 each and produced 1,100 key chains.
Required:
Determine the total cost of raw materials inventory at December 31, 2010.

Bourne Crafts Manufactures Specialty Key Chains for Tourist Attractions