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Bottum Corporation, a manufacturing Corporation, has provided data concerning its operations for May. The beginning balance in the raw materials account was $25,500 and the ending balance was $47,000. Raw materials purchases during the month totaled $74,000. Manufacturing overhead cost incurred during the month was $116,500, of which $3,100 consisted of raw materials classified as indirect materials. The direct materials cost for May was:

Respuesta :

Answer:

the direct material cost is $49,400

Explanation:

The computation of the direct material cost is shown below;

Direct materials cost = Beginning raw materials inventory + Raw materials purchases - Ending raw materials - Indirect materials

= $25,500 + $74,000 - $47,000 - $3,100

= $49,400

Hence, the direct material cost is $49,400