Accounting for materials Consider the following T accounts:
|
Materials inventory |
Work in process inventory |
||||
|
Bal |
50 |
Bal |
15 |
||
|
Purchases |
205 |
Used |
Direct materials |
|
Cost of goods |
|
Bal |
35 |
Direct labor |
285 |
manufactured |
|
|
Manufacturing overhead |
135 |
||||
|
Bal |
45 |
||||
Requirement
1. Use the T accounts to determine direct materials used and indirect materials used.