True or False: Assuming a company has beginning work-in-process inventory of $9,000 and direct materials purchased was $11,000 and ending direct materials inventory was $3,200 and beginning direct materials inventory was $2,400 then cost of materials used would be $11,800.

True or False: A company with sales of $500,000 and fixed manufacturing costs of $100,000 and variable manufacturing costs of $75,000 and fixed selling and administrative expenses of $50,000 and variable selling and administrative expenses of $60,000 that is preparing a variable costing format income statement would show contribution margin of $365,000.

True or False: Direct material costs usually flow through the Materials Inventory account first, then directly into the Finished Goods account, and then through the Cost of Goods Sold account.