Managerial Accounting

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Solve for Direct Materials on a Job from Ending Work in Process


Your client uses a job-order costing system. During the most recent month, the following activity was recorded in the Work in Process Account:

Costs in the Work in Process Inventory Account:
Beginning balance \$30,000
Direct material used \$90,000
Direct labor incurred \$75,000
Applied manufacturing overhead \$52,500
Cost of goods manufactured \$225,000

They apply overhead based on direct labor cost. There was one job left at the end of the period that included \$6,300 of overhead.

What was the direct material charged to the job in ending Work in Process?