Please solve this problem

[Zikria Yamin]

Dear
Thanks
For your detailed answer. I am confused just because of
the treatement of Indirect meterial.

When we add and less the raw material inventories, we arrived at material consumed, which may be a combination of Indirect and Direct Materials, whereas, while computing for the CGS we require the DIRECT Material to add with the Direct labour, FOH, WIP etc.

So, please tell me on what grounds Indirect material is not deducted from the Material Used.

I am confused.