A firm uses backflush costing to assign product costs to inventory. The firm values inventory...
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Accounting
A firm uses backflush costing to assign product costs to inventory. The firm values inventory using throughput accounting.
At the beginning of March, the RIP account has a balance of $100. On March 10, the firm purchases 500 lbs of raw materials worth $5,000. At the end of the month, 5 lbs of raw materials (worth $50) remain unused. 50 units were in process ($3 material cost per unit)
If you searched for the RIP account in the firm's cost accounting records on March 15, what balance would that account show?
Group of answer choices
$150
$4,850
$100
$5,000
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You can see the logs in the Dashboard.