Paper 3 · November 2022 · Manufacturing account and statement of profit or loss

Green Valley Manufacturing Company Ltd: opening raw materials $72,000, purchases of raw materials $982,000, carriage inwards of raw materials $5,400, closing raw materials $88,000. Calculate the cost of raw materials consumed.

Model answer

971400

Also accepted: $971,400, 971,400

Explanation

$72,000 + $982,000 + $5,400 - $88,000 = $971,400.

Derived from ZIMSEC Accounting 6001/3 Paper 3 (Problem Solving), November 2022, Q1

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