On April 1, Bogdon Corporation had $30,000 of raw materials on hand. During the month, the company purchased an additional $63,000 of raw materials. During April, $76,000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $2,000.
-The journal entry to record the requisition from the storeroom would include a:

Question

Quizplus · Accepted Answer

The requisition from the storeroom represents materials used in production, which means it should be debited to Work in Process. The amount would be for the cost of the materials used, which is $74,000 based on the information given in the question. Therefore, the correct journal entry would be a debit to Work in Process for $74,000. Choices A and C are incorrect because they do not reflect the correct account to be debited and they do not align with the information given in the question.

On April 1, Bogdon Corporation Had $30,000 of Raw Materials