Hi everyone I new to accounting tring to learn doing practice problems I can't figure out how they are finding the total of Direct materials used in production for the year with the info provided.

Killian Company began operations on January 1, 2001. The predetermined overhead rate for 2001 was computed to be $6.00 per direct labor hour. Debits to Work in Process for the year totaled $550,000; credits to Work in Process totaled $480,000, which represents the cost of the goods manufactured for the year. Analysis of the Company’s records indicate that direct labor cost totaled $250,000 for the year, which represents 20,000 hours of direct labor time.

No it doesn't it gives anseers you could choose from but the information in the question is what is to be used to figure the answer.

I have the same answer like momma4_5 but i will deliver it differently.

Raw Materials Used = Unknown
Direct Labor = 250,000 (Given)
Overhead = 120,000 (20,000 labor hours x $6)
Total Manufacturing Costs = 550,000

Total Manufacturing Cost is the sum of Raw Materials Used, Direct Labor and Overhead in which case you can EXTRACT the Raw Materials Used by deducting Direct Labor and Overhead from Total Manufacturing Costs.

TMC = 550,000
Less: DL = 250,000
Less: OH = 120,000
RM = 180,000

How could we say that the TOTAL MANUFACTURING COST is the 550,000?

The total Debit in the Work in Process is the Total Manufacturing Costs transferred to WIP Account.

To verify let us compute the Cost of Goods Manufactured basd on the information provided.

Raw Materials Used = 180,000
Direct Labor Costs = 250,000
Manufacturing Overhead = 120,000
TOTAL MANUFACTURING COSTS = 550,000

Add: Wip, beg. = 0 (Nil Value)
Less: Wip, end. = 70,000
Cost of Goods Manuactured = 480,000

RDS