Opening stock of raw materials – #75,000
Purchase of raw materials – #330,000
Closing stock of raw materials – #80,000
Direct wages – #30,000
Carriages of raw materials – #10,000
Calculate the cost of raw materials used
- #495,000
- #415,000
-
#325,000
- #305,000
The correct answer is: C
Explanation
To calculate direct materials, add beginning direct materials to direct materials purchases and subtract ending direct materials.
75,000 + 330,000 - 80,000 = 325,000