1. A firm uses backflush costing to assign product costs to inventory. The firm values inventory using throughput accounting.

   At the beginning of March, the RIP account has a balance of $100. On March 10, the firm purchases 500 lbs of raw materials worth $5,000. At the end of the month, 5 lbs of raw materials (worth $50) remain unused. 50 units were in process ($3 material cost per unit)

   If you searched for the RIP account in the firm's cost accounting records on March 15, what balance would that account show?

   	a.	$150
   	b.	$5,000
   	c.	$4,850
   	d.	$100