Use the following information to answer questions below

Le
Raw materials:
Stock (01/01/2017) 822000
Stock (31/12/2017) 560000
Purchases 125000
Returns of raw materials 15000

 

A. Le 372,000
B. Le 932,000
C. Le 947,000
D. Le 402,000

Correct Answer:

Option B – Le 932,000

Explanation

Cost of raw materials available = Opening stock of raw materials + Purchases of raw materials – returns of raw materials
= 822,00 + 125,000 + 15,000
= 932,000

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