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Question - Ford Company had beginning raw materials inventory of $8,000. During the period, the company purchased $46,000 of raw materials on account. If the ending balance in raw materials was $5,000, the amount of raw materials transferred to work in process inventory is:
A. $51,000
B. $49,000
C. $43,000
D. $46,000
Assuming that Reed uses the perpetual inventory method, record the necessary journal entries on June 24 and June 30. The cost of merchandise to Reed Company is 60% of its selling price.
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