Use This Information About Department F to Answer the Questions

question 190

Multiple Choice

Use this information about Department F to answer the questions that follow.

Department F had 4,000 units in Work in Process that were 40% completed at the beginning of the period at a cost of $12,500. Of the $12,500, $8,000 was for materials and $4,500 was for conversion costs. 14,000 units of direct materials were added during the period at a cost of $28,700. 15,000 units were completed during the period, and 3,000 units were 75% completed at the end of the period. All materials are added at the beginning of the process. Direct labor was $32,450, and factory overhead was $18,710.

-If the average cost method is used, the conversion cost per unit (rounded to the nearest cent) would be

• A) $3.71
• B) $2.84
• C) $2.97
• D) $3.23

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Definitions:

Nash Equilibrium

A concept in game theory where no player can benefit by changing strategies if other players keep theirs unchanged.

Sequential Game

A strategic game where players make decisions one after another, with later players having knowledge of the previous actions.

Equilibrium

A situation where market demand equals supply, causing price levels to remain unchanged.

Mixed Strategies

A strategy in game theory where a player chooses probabilistically between different actions to prevent predictability.