Michael’s Manufacturing, Inc -Raw Materials Used for July Is:
A) $112 000
B)

question 4

Multiple Choice

Michael’s Manufacturing, Inc. has the following information available for the month of July:
$\begin{array}{c}\begin{array}{l}\\ \text { Raw materials inventory}\\ \text { Work-in-process inventory}\\ \text { Finished goods inventory}\\\\ \text { Raw materials purchased}\\ \text { Direct labour costs}\\ \text { Overhead costs}\end{array}\begin{array}{rr}\underline{\text { Beginning}}&\underline{\text { Ending }}\\\$ 50000 & \$ 62000 \\80000 & 55000 \\24000 & 35000 \\& \\& \$ 120000 \\& 60000 \\& 45000\end{array}\end{array}$

-Raw materials used for July is:

• A) $112 000
• B) $108 000
• C) $120 000
• D) $132 000

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Definitions:

Cash Flow Hedge

A financial strategy used to manage the risk of fluctuations in cash flow due to changes in exchange rates, interest rates, or commodity prices.

Other Comprehensive Income

Income that is not part of net income, including items that have not been realized or that are not typical earnings, such as foreign currency translation adjustments.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is globally accepted.

Fair Value

The price at which an asset or liability could be exchanged between knowledgeable, willing parties in an arm's length transaction.