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Horla Cos manufacturing operations recorded the following information for the month of March 20x9: Inventories Mar. 7, 20x9
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Answer #1

Prime Cost = Direct materials used + Direct labor

Direct material used = Opening direct materials + direct materials purchased - ending direct materials

Direct materials = $ (32127 + 83418 - 30538)

=$ 85007

Prime Cost =$ ( 85007 + 55714)

=$ 140721

The prime costs for the month of March is $ 140721.

The correct option is b. $ 140721.

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