Alpha Inc. regularly uses material FLAV4 and currently has in stock 580 liters of the material for which it paid $2,766 several weeks ago. If this were to be sold as is on the open market as surplus material, it would fetch $5.85 per liter. New stocks of the material can be purchased on the open market for $7.00 per liter, but it must be purchased in lots of 1,050 liters. You have been asked to determine the relevant cost of 800 liters of the material to be used in a job for a customer. The relevant cost of the 800 liters of material FLAV4 is:. (CIMA adapted)

Frost corporation incurred the following transactions during its first year of operations. (assume all transactions involve cash.) 1) acquired $1,900 of capital from the owners. 2) purchased $435 of direct raw materials. 3) used $290 of these direct raw materials in the production process. 4) paid production workers $490 cash. 5) paid $290 for manufacturing overhead (applied and actual overhead are the same). 6) started and completed 250 units of inventory. 7) sold 140 units at a price of $6 each. 8) paid $130 for selling and administrative expenses. the amount of raw material inventory on the balance sheet at the end of the accounting period would be: