The Lakeside Company Uses a Weighted-Average Process Costing System -
Total Cost of the 4,000 Units of the Ending

question 36

Multiple Choice

The Lakeside Company uses a weighted-average process costing system. The following data are available:
$$\begin{array} { l r } \text { Beginning irventory } & - 0 - \\\text { Units started in production } & 20,000 \\\text { Units finished during the period } & 16,000 \\\text { Units in process at the end of the period } & \\\text { (complete as to materials, } & 4,000 \\1 / 4 \text { complete as to labor and overhead) } & \\\text { Cost of materials used } & \$ 35,200\\\text { Labor and overhead costs } & \$ 37,400\end{array}$$

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Total cost of the 4,000 units of the ending inventory:

• A) $15,840.
• B) $14,520.
• C) $9,240.
• D) $8,910.

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Definitions:

Perfectly Competitive

A market structure where there are many buyers and sellers, products are identical, and there is free entry and exit in the market.

Production Technology

The quantitative relationship between inputs and outputs.

Input Demand

Input demand refers to the quantity of goods and services a firm requires to produce its own products, often influenced by the price of these inputs and the firm's level of output.

Normal Return

The typical profit that is expected from a standard investment or business activity, accounting for the cost of capital.