Digitoll Ltd Produces a Range of Computer Accessories

question 14

Multiple Choice

Digitoll Ltd produces a range of computer accessories. One product is a web-cam, a miniature digital camera with the capacity to be linked to a computer. The following are the summary costs for the web-cam for the period ended 31 December 2002:

The production level this period was normal at 10,000 units. What is the cost per unit (rounded to the nearest cent) in accordance with AASB 102 requirements?

• A) $11.00
• B) $10.40
• C) $14.10
• D) $11.90
• E) None of the given answers.

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Definitions:

Social Structure

The organized pattern of social relationships and social institutions that together compose society.

Valley Forge

The military camp 18 miles northwest of Philadelphia where the American Continental Army spent the winter of 1777–1778 during the American Revolutionary War, notable for its conditions of hardship and resilience.

Saratoga

A decisive battleground in the American Revolutionary War where the American forces won a significant victory over the British in 1777.

American Troops

Military personnel from the United States, serving in the army, navy, air force, marines, or coast guard.