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You are a new accounting intern at Tru Bikes. Your boss gives you the following information and asks you to compute the cost
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Answer #1
Calculation of Direct Material Used
Direct materials used:
Beginning raw materials inventory $   4,600.00
Add: Purchases of direct materials $ 16,000.00
Freight In $      200.00
Import Duties $   1,100.00 $ 17,300.00
Raw materials available to use $ 21,900.00
Less: Ending raw materials inventory $   2,000.00
Direct materials used $ 19,900.00

Please let me know if you find anything incorrect. Thank you

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