Rios Corporation Reports Costs for the Year as Follows How Much Is the Total Product Costs for the Year

question 205

Multiple Choice

Rios Corporation reports costs for the year as follows: $$\begin{array} { | l | r | } \hline \text { Direct Materials Used } & \$ 780,000 \\\hline \text { Wages to Line Workers } & 245,000 \\\hline \text { Office Rent } & 33,000 \\\hline \text { Indirect Materials Used } & 800,000 \\\hline\end{array}$$ How much is the total product costs for the year?

• A) $800,000
• B) $1,825,000
• C) $1,858,000
• D) $1,025,000

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Definitions:

Beginning Balance

The amount of money or value of an account or inventory present at the start of a financial period before any transactions have occurred.

Net Income

The profit remaining after all operating expenses, interest, taxes, and dividends have been deducted from total revenue.

Classified Balance Sheet

A financial statement that organizes a company's assets, liabilities, and equity into subcategories for clearer understanding.

Asset Subsections

Specific categories under assets in financial accounting, such as current assets, fixed assets, etc.