Alchemy Manufacturing produces a pesticide chemical and uses process costing. There are three processing departments—Mixing, Refining, and Packaging. On January 1, the first department—Mixing—had no beginning inventory. During January, 56,000 fl. oz. of chemicals were started in production. Of these, 30,000 fl. oz. were completed and 26,000 fl. oz. remained in process. In the Mixing Department, all direct materials are added at the beginning of the production process, and conversion costs are applied evenly throughout the process. The weighted-average method is used.
At the end of the month, Alchemy calculated equivalent units. The ending inventory in the Mixing Department was 75% complete with respect to conversion costs. With respect to direct materials, what is the number of equivalent units in the ending inventory?
A) 19,500 equivalent units
B) 30,000 equivalent units
C) 56,000 equivalent units
D) 26,000 equivalent units
D) 26,000 equivalent units
Explanation: Since materials are added at the beginning of the process, all 26,000 units are 100% complete with respect to materials. Therefore, the equivalent units for materials in the ending inventory will be
You might also like to view...
Your extemporaneous outline is also called your ______.
Fill in the blank(s) with the appropriate word(s).
Which of the following is a reason is it risky for a coalition to remain intact after the successful resolution of an issue?
A. All of these are reasons it is risky for a coalition to remain intact after successful resolution of the issue. B. revenge of the vanquished C. desire for anonymity D. turmoil within
In a time of rising prices, unrealized holding gains on ending inventory are
a. higher under LIFO than FIFO. b. higher under FIFO than LIFO. c. reported on the income statement. d. required to be reported in notes to the financial statements. e. none of the above
Cars, groceries, and clothing belong in which category?
A. Goods B. Services C. Productivity D. Production