Act505 Essay

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CO F) Assume there is no beginning work in process inventory and the ending work in process inventory is 100% complete with respect to materials costs. The number of equivalent units with respect to materials costs under the weighted-average method is: | | | Student Answer: | | the same as the number of units put into production. | | | | less than the number of units put into production. | | | | the same as the number of units completed. | | | | less than the number of units completed. | | Instructor Explanation: | Chapter 4 | | | | Points Received: | 5 of 5 | | Comments: | | | | Question 2. | Question : | (TCO F) Which of the following companies would be most likely to use a job-order costing system rather than a process costing system? | | | Student Answer: | | Fast food restaurant | | | | Shipbuilding | | | | Crude oil refining | | | | Candy making | | Instructor Explanation: | Chapter 3 | | | | Points Received: | 0 of 5 | | Comments: | | | | Question 3. | Question : | (TCO F) Unizat Corporation uses the weighted-average method in its process costing system. The following information pertains to one of the company's processing departments for a recent month: | Units | Material Cost | Beginning work in process | 30,000 | $22,000 | Started during the month | 80,000 | $72,000 | Units completed | 85,000 | | Ending work in process | 25,000 | | All materials are added at the beginning of the process. The cost per equivalent unit for materials is closest to: | | | Student Answer: | | $0.86 | | | | $0.90 | | | | $1.10 | | | | $1.18 | | Instructor Explanation: | To solve for ending work in process: + Work in process, beginning | 30,000 | + Units started into production

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