Guthrie Corporation the Following Information Is Available for Guthrie Corporation

question 210

Multiple Choice

Guthrie Corporation The following information is available for Guthrie Corporation for the current year:
All materials are added at the start of production.
Refer to Guthrie Corporation.What is the cost per equivalent unit for material using weighted average?

• A)$1.72
• B)$1.62
• C)$1.77
• D)$2.07

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Definitions:

Average Rate of Return

A financial ratio used to evaluate the profitability of an investment, calculated by dividing the average annual profit by the initial investment cost, typically expressed as a percentage.

Straight-Line Depreciation

A strategy for apportioning the cost of a concrete asset into equal yearly sums throughout its serviceable life.

Net Income

The total profit of a company after all expenses, including taxes and operating costs, have been deducted from total revenue.

Present Value Factor

A factor used in the calculation of the present value of cash flows, based on a specific rate and number of periods.