A Materials Requisition Slip Showed That Total Materials Requested Were

question 100

Short Answer

A materials requisition slip showed that total materials requested were $21,250 with $750 of this amount consisting of indirect materials.What entry is made to record the transfer of materials from the storeroom? a)
$\begin{array}{cc} \text {Work in Process Inventory } &20,500\\ \text { Manufacturing Overhead } &750\\ \text {Raw Materials Inventory } &&21,250\\\end{array}$
b)
$\begin{array}{cc} \text { Work in Process Inventory } &21,250\\ \text { Raw Material Inventory } &&21,250\\\end{array}$
c)
$\begin{array}{cc} \text { Direct Materials} &20,500\\ \text { Indirect Materials} &750\\ \text { Work in Process Inventory } &&21,250\\\end{array}$
d)
$\begin{array}{cc} \text { Manufacturing Overhead } &21,250\\ \text { Raw Materials Inventory } &&21,250\\\end{array}$

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Definitions:

Average Tax Rate

The ratio of the total amount of taxes paid to the total tax base (taxable income or spending), showing the fraction of income or expenditure paid in taxes.

Capital Gains

The profit that results from selling an asset for more than its purchase price, often related to investments or real estate.

Non-Eligible Dividends

are dividends that come from earnings that have not been taxed at the general corporate rate, often receiving less favorable tax treatment than eligible dividends.

Marginal Provincial Tax Rate

The rate at which your next dollar of taxable income would be taxed, specific to the province in the context of Canadian taxation.