Reference: 04-10
Nando Company Uses the Weighted-Average Method in Its

question 77

Multiple Choice

Reference: 04-10
Nando Company uses the weighted-average method in its process costing system. Department J is the second of three sequential processes at the company. During October, Department J collected the following data: $$\begin{array}{l}\begin{array} { | l | l | l | } \hline & \text { Units } & \begin{array} { l } \text { Labour and Overhead } \\\text { (Percentage Complete) }\end{array} \\\hline \text { Work in process, October 1 } & 8,000 & 60 \% \\\hline \text { Units started } & 25,000 & \\\hline \text { Completed and transferred } & 20,000 & \\\hline \text { Work in process, October } 31 & 13,000 & 20 \% \\\hline\end{array}\\\\\begin{array} { | l | l | l | l | } \hline \text { Costs for October: } & \text { Transferred In } & \text { Materials } & \begin{array} { l } \text { Labour and } \\\text { Overhead }\end{array} \\\hline \text { Work in process, October 1 } & \$ 33,000 & \$ 16,500 & \$ 31,200 \\\hline \text { Added during the month } & \$ 59,400 & \$ 82,500 & \$ 194,800 \\\hline\end{array}\end{array}$$ All materials are added at the beginning of the process.
-The total cost assigned to ending work in process inventory was

• A)$152,800.
• B)$ 59,000.
• C)$75,400.
• D)$101,400.

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Definitions:

Reasonable Review

The process of examining or assessing something carefully, with the expectation that the review is conducted fairly and judiciously.

Staff Accountant

An accounting professional responsible for preparing financial documents, maintaining records, and ensuring accuracy according to financial policies.

Partial Payment

An amount paid that is less than the total due, often applied to a debt or invoice, which does not fully settle the outstanding amount.

Indorses

To sign the back of a financial instrument, thereby transferring ownership or to express support.