Question

3M Co. reports beginning raw materials inventory of $902 million and ending raw materials inventory of $855 million. 3M purchased $3,646 million of raw materials during the year. What is the amount of raw materials it used during the year

Answer 1

$3693 million

Explanation: The materials used in the primary stage of production is called

raw materials. These are the basic materials used for production.

.

Raw material used is the amount of raw materials consumed by the entity

in a specific period , generally a year .

.

Raw materials used = begining invetory + purchased inventory - ending invetory

therefore,

Raw materials used = $902 million + $3646 million - $855 million

= $3693 million