2 . You are performing cost testwork over raw materials at Dunder Mifflin as of 12 /31 2018 ( the Company's year - end ) . You run a sampling plan over raw material inventory and the sampling software tells you that you must audit Vanilla Dye - a product used to dye paper . The Controller provides to you a schedule of all of the quantity changes for the material . You then request the elevant purchase invoices and material requisition forms to verify proper price and quantity of material movements . After doing so you prepare the following schedule Quantity Change Unit Cost Total Cost Beginning RM inventory ( 1 /1/2017 150 $250 $37 500 Move to WIP ( 6/30 / 2017 ) 125 Purchase ( 8 / 15 / 2017 200 270 $54000 Laver 1 Price Move to WIP (9/30 / 2017 150 Purchase ( 1/30 / 2017 10 0 280 $28.000 Ending RM inventory ( 12/31 /2017 175 a . The unit cost for this material per the books is $279 05 Assume that Dunder Mifflin uses a weighted average cost method . What audit adjustment ( s ) should you propose as of 1231 18 7 ( Assume that extrapolation is not required since Dunder Mifflin has very few raw materials )