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Answer:
Purchases= $408,000
Explanation:
Giving the following information:
Beginning Ending Raw materials inventory$547,000 $610,000
The raw materials used in manufacturing during the year totaled $1,018,000
To calculate the direct material purchased, we need to use the following formula:
Purchases= direct material used in production - ending inventory
Purchases= 1,018,000 - 610,000
Purchases= $408,000