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A company began the year with $500 in raw materials and purchased $10,250 more during the year. If the company has $725 in raw materials at the end of the year, then they would report direct materials used of___________ $ on the schedule of cost of goods manufactured.

Respuesta :

Answer:

$10,025

Explanation:

Given that,

Company's Beginning Raw materials = $500

Purchases = $10,250

Company's Ending Raw Materials  = $725

Hence,

Direct Materials Used:

= Beginning Raw materials + Purchases - Ending Raw Materials

= $500 + $10,250 - $725

= $10,025

Therefore, they would report direct materials used of $10,025.