Determine the prime cost?

Purchase of raw materials – #330,000
Closing stock of raw materials – #80,000
Direct wages – #30,000
Carriages of raw materials – #10,000

A. #525,000
B. #515,000
C. #465,000
D. #370,000

Correct Answer:

Option D – #370,000

Explanation

330,000 + 30000 + 10,000 = 370,000