Question

Tableau DA 14-1: Quick Study, Computing direct materials used LO C4, C5

You have been asked by the CEO of Mountaineer Co. to assist in analyzing product costs. This analysis is used in internal decision making and in reporting to investors. The following Tableau Dashboard provides data needed for the analysis. Raw Materials Inventories Raw materials, beginning Raw materials purchases Raw materials used Raw materials, ending $0 $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 Work in Process & Finished Goods Inventories Work in Process Finished Goods Rent expense - Factory $50,000 54,000 50,000 $40,000 43,000 Repairs expense - Factory $30,000 33,000 Factory supplies used (indirect materials) Factory utilities $20,000 $10,000 $0 Beginning Ending Beginning Ending Indirect labor Additional Data Accounts receivable, net $150,000 Cash $350,000 Direct labor $180,000

Answer 1

1 (a) Mountaineer Co. is a manufacturer.

1 (b) Distinguishing account - Cost of goods manufactured

2 . Raw Materials purchase - 140,000

3. Raw materials used during the year = Beginning , raw materials + Purchases - Closing, raw materials

= 60,000 + 140,000 - 64000

= 136,000

* For 1 (b) please choose the appropriate drop down., Any doubt please comment.