Harrison Company Reports the Following Cost Information for August

question 143

Multiple Choice

Harrison Company reports the following cost information for August: What is the amount of direct materials used by Harrison Company in August?

• A)$25,300
• B)$61,944
• C)$49,556
• D)$63,900

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Definitions:

Liability Account

An account on a company's balance sheet that records debts or obligations the company needs to pay in the future.

Adjusting Entry

Accounting entries recorded at the close of an accounting cycle to distribute expenses and revenues to the period they truly belong to.

Consulting Services

Professional advisory services provided to businesses and organizations to improve operations, strategy, and financial performance.

Profit Margin Ratio

A measure of a company's profitability, represented by net income divided by revenue, indicating the percentage of each dollar of revenue that results in profit.