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Cryolite Uses a Standard Costing System to Gauge Results for Their

question 116

Multiple Choice

Cryolite uses a standard costing system to gauge results for their single product. 70,000 kilograms of direct materials were purchased for $385,000. Two kilograms of direct materials are needed to produce one unit of product. In March, the company produced 12,000 units. The standard cost allowed for direct material was $120,000, and there was an unfavourable direct materials efficiency variance of $2,500.
Cryolite's standard cost for one kilogram of direct material is:

Calculate the cost of goods manufactured.

Grasp the matching principle in accounting and how it applies to product costs.

Understand the basic concept and calculation of Gross Domestic Product (GDP) and Real GDP.

Comprehend the distinctions and relations between GDP, NDP (Net Domestic Product), GDI (Gross Domestic Income), and NNP (Net National Product).

Definitions:

Formal Operations

The stage of cognitive development, according to Piaget, where individuals are able to think abstractly, reason logically, and manage problems systematically.

Jean Piaget

A Swiss psychologist known for his pioneering work in child development and cognitive psychology.

Sensorimotor Stage

The first stage in Piaget's theory of cognitive development, where infants learn about the world through their senses and motor activities.

Cognitive Accomplishment

A significant achievement or milestone in the development of cognitive abilities, such as problem-solving, memory, or understanding complex concepts.