On November 1, Arvelo Corporation Had $32,000 of Raw Materials

question 226

Multiple Choice

On November 1, Arvelo Corporation had $32,000 of raw materials on hand. During the month, the company purchased an additional $78,000 of raw materials. During November, $95,000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $3,000. Prepare journal entries to record these events. Use those journal entries to answer the following questions:
-The debits to the Manufacturing Overhead account as a consequence of the raw materials transactions in November total:

• A) $95,000
• B) $3,000
• C) $0
• D) $92,000

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Definitions:

NADP+

Nicotinamide adenine dinucleotide phosphate, a coenzyme involved in redox reactions in cells, especially in photosynthesis.

ADP

Adenosine diphosphate, a molecule involved in cellular energy transfer, acting as a precursor to ATP during cellular respiration.

Electron Transport Chain

A sequence of molecular structures that facilitates the movement of electrons from donors to acceptors through oxidation-reduction reactions, while simultaneously moving protons (H+ ions) through a membrane.

Thylakoid Membrane

A membrane-bound compartment inside chloroplasts and cyanobacteria, which is the site of the light-dependent reactions of photosynthesis.