When prices increase it signals to businesses to

Prices send signals and provide incentives for buyers and sellers in ways you possibly never thought about. In a market economy, price signals prevent massive shortages and ensure that consumer wants are largely satisfied. In this episode of the Economic Lowdown Podcast Series, hear how price signals from gas prices influence decision-making for both a father of three and a production supervisor for an oil refinery.

Explanation:

The amount of the direct materials which are charged to job 130 and assuming that the balance in work in process inventory is $20,000 is $14,800. The answer to the following question that was stated is $14,800 and that is the amount of the direct materials.